LONDON — The recent visit of Sri Lankan President Mahinda Rajapaksa to New Delhi appeared successful. India and Sri Lanka signed a range of agreements including loans for major infrastructure projects, sharing of electricity and cultural exchanges. India has extended a $200 million credit line to assist in setting up the NTPC-CEB Joint Venture thermal power plant (500 MW) at Trincomalee.

The two nations decided to set up an annual defense dialogue and increase high-level military exchanges. A treaty on mutual legal assistance in criminal matters and an understanding on sentenced prisoners was agreed upon.

And India has agreed to construct a rail link between Talaimannar and Madhu in Sri Lanka's Northern Province.