India will subsidize a ferry service from Nagapattinam to Kankesanthurai in Sri Lanka for another year to strengthen regional connectivity and people to people links.
“It is aimed at ensuring the affordability and operational sustainability of the service by covering key logistical and operational costs, on terms similar to the previous year,” India’s High Commission in Colombo said in a statement.
“It stands as a key milestone in revitalizing maritime connectivity between India and Sri Lanka.”
India is committing 25 million rupees (300 million rupees for the year) under a viability gap funding mechanism to keep the ferry in operation.
From the time it started in August 2024, the ferry had carried over 15,000 passengers.
Future plans include the exploration of additional routes and services that will further expand connectivity and economic collaboration, the embassy statement said.