India extends financial assistance for Nagapattinam-Kankesanthurai passenger ferry service for another year

Friday, 13 June 2025 00:00 - - {{hitsCtrl.values.hits}}

The Government of India has decided to further extend the financial assistance for another year to support the ongoing passenger ferry service between Nagapattinam and Kankesanthurai. This extension is in line with India’s continued commitment to enhancing regional connectivity and strengthening people-to-people linkages between the two nations.

The financial support is being extended under the Viability Gap Funding (VGF) mechanism, amounting to over Rs. 300 million annually (approx. Rs. 25 million per month). 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.

Since its resumption in August 2024, the ferry service has facilitated the movement of over 15,000 passengers, reinforcing cultural, economic, and social exchanges between the two countries. It stands as a key milestone in revitalising maritime connectivity between India and Sri Lanka.

The continuation of the financial support for the ferry service also aligns with the shared vision for enhanced maritime connectivity, as reaffirmed during the visit of the President of Sri Lanka to India in December 2024 and the visit of the Prime Minister of India to Sri Lanka in April 2025.

Future plans include the exploration of additional routes and services that will further expand connectivity and economic collaboration.

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