Anura Kumara Dissanayake, Sri Lanka's newly elected Marxist President, is charting a careful course in the midst of geopolitical tensions between India and China. With the country grappling with a severe financial crisis since 2019, which culminated in a sovereign default in 2022, Dissanayake's administration is focused on rebuilding ties with various global partners while avoiding being "sandwiched" between the two regional powers.

In a recent interview with The Monocle, Dissanayake outlined his foreign policy vision, stating that while both India and China are valued partners, Sri Lanka will not align itself with any geopolitical factions. He emphasized the importance of maintaining sovereignty and steering clear of external influences that could compromise the nation's independence.

With over 42% of the vote in the presidential election, Dissanayake has garnered attention for his potential close ties to China, raising concerns in New Delhi about Beijing's growing influence in Sri Lanka, strategically located along key shipping lanes in the Indian Ocean. Despite speculation, Dissanayake reassured Indian and American audiences of the importance of Indian support for economic stability and regional security.

The new president is also focusing on improving relations with Western nations, the Middle East, and Africa as part of a diversified foreign policy strategy. His approach aims to secure financial aid from multiple sources, recognizing the necessity of global partnerships in overcoming Sri Lanka's economic challenges.

Additionally, Dissanayake plans to renegotiate the conditions of the International Monetary Fund's bailout package, which has drawn criticism for contributing to tax hikes and spending cuts that exacerbated the country’s cost-of-living crisis. This critical move could influence future financial assistance and aid as he navigates a complex economic landscape.