India is the largest foreign direct investor in Sri Lanka, and also contributes to the largest number of tourist arrivals in Sri Lanka. Sri Lankans also make up a significant proportion of tourists and pilgrims visiting India. Over 250,000 Sri Lankans visited India in 2011-12.

Both the countries signed two agreements – Agreement for Avoidance of Double Taxation and Prevention of Fiscal Evasion with Respect to Taxes on Income and Agreement on Combating International Terrorism and Illicit Drug Trafficking at the conclusion of the 8th India-Sri Lanka Joint Commission meeting here on Tuesday co-chaired by the Indian External Affairs Minister Salman Khurshid and the Sri Lankan External Affairs Minister Prof GL Peiris.

Khurshid described the meeting as “useful and productive”.

He urged for an early conclusion of a MoU on Development and Cooperation in Fisheries.

India and Sri Lanka agreed to encourage closer economic and trade linkages between all stakeholders with a view to doubling bilateral trade to $ 10 billion in the next three years. They agreed to initiate a dialogue between the Commerce Secretary of India and the Secretary of the Ministry of Finance and Economic Development of Sri Lanka at an early date to evolve a framework for a special economic partnership between the two countries.

India-Sri Lanka Joint Working Group on Tourism is slated to meet in the first quarter of 2013 to identify potential areas of cooperation, including marketing and capacity building. Possibility of finalising and signing a revised Air Services Agreement will be explored. Attempts would be made for an early resumption of ferry services between Talaimannar in Sri Lanka and Rameswaram in India.

The landmark initiative between the two countries, Sampur Power Project, is slated to go on stream by 2016.

Both sides agreed to enhance bilateral cooperation in the areas of New and Renewable energy, and in this context agreed to conclude a MoU on Cooperation in New and Renewable Energy; to cooperate in establishing three power plants of aggregate capacity of 15 MW using biomass fuel; and enhance cooperation in wind and solar energy sectors. It was also agreed to enhance bilateral cooperation in the fields of oil and gas; civil nuclear energy; science and technology; and space technology.

Both sides agreed to encourage the finalisation of the MoU between the National Institute of Open Schooling (NIOS) and the Department of Open Distance Learning in Sri Lanka; organisation of more 'Education Fairs' in Sri Lanka; setting up Provincial Centres for English Language Training; and finalisation of the MoU for cooperation in connection with the 'Ten Year Presidential Initiative to Steer Sri Lanka towards a Trilingual Society by 2020'.

Both India and Sri Lanka agreed to jointly celebrate the 150th birth anniversaries of Swami Vivekananda (in 2013-14) and of Anagarika Dharmapala (in 2014-15). Both sides noted the successful exposition of the sacred Kapilavastu relics and the celebrations of 150 years of Guru Rabindranath Tagore’s anniversary in Sri Lanka which significantly enriched bilateral cultural relations between the two countries.

The Joint Commission noted that the trilateral cooperation mechanism between India, Sri Lanka and the Maldives was an important initiative to promote maritime security in the region.

The Indian External Affairs Minister is slated to visit Sri Lanka in the first half of 2013. The next session of India-Sri Lanka Joint Commission will be held in Sri Lanka in the first half of 2014.