Karainagar Boatyard back to life: MOU signed between India and SL

India and Sri Lanka have taken a noteworthy step in bolstering economic and social ties by signing a Memorandum of Understanding for the rehabilitation of the Karainagar Boatyard in the Northern Province. The agreement was signed on December 16, 2024, by Indian High Commissioner H.E. Santosh Jha and Sri Lankan High Commissioner H.E. Kshenuka Dhireni Senewiratne, High Commission of India, Colombo reports.

Funded by the Indian government with a grant of SLR 290 million, the project will revitalize the Cey-Nor Foundation Ltd.’s boatyard. It includes civil works, equipment installation, and upgrades to machinery and infrastructure. Once operational, the boatyard is expected to create numerous jobs, boost local livelihoods, and increase the supply of quality fisheries products.

This initiative is part of India’s broader development assistance to Sri Lanka, which exceeds USD 5 billion and spans various sectors across the island. Past contributions in the Northern Province include housing projects, port upgrades, educational and healthcare facility renovations, and support for local fishing and agricultural communities.