Abstract:
This study investigates Sri Lanka's foreign policy dynamics in navigating the strategic influences of India
and China. Situated at the geopolitical crossroads of the Indian Ocean, Sri Lanka plays a pivotal role in the
regional and global balance of power. This research examines how Sri Lanka manages its relationships
with these two major powers, focusing on economic partnerships, political dependency, and domestic
sovereignty concerns. Using case studies such as the Hambantota Port project and Indian investments in
Northern Sri Lanka, this article evaluates whether Sri Lanka successfully balances these relationships or
risks falling into dependency. The findings reveal a complex interplay between strategic interests,
economic realities, and domestic political pressures, highlighting the challenges small states face in
maintaining autonomy amid competing external influences. This study contributes to the existing
literature by offering an updated analysis of Sri Lanka’s evolving foreign policy in the post-2019
geopolitical landscape. Furthermore, it provides practical implications for policymakers by outlining
strategies for small states to navigate economic and political dependencies while safeguarding national
interests. By situating Sri Lanka’s case within broader theoretical discussions on small-state diplomacy
and economic statecraft, this research offers novel insights into the agency of smaller nations in shaping
their foreign policy trajectories.