India’s foreign policy under the Narendra Modi government has been focused on rebuilding cooperation in South Asia. The Indian foreign policy has been restructured as ‘Neighborhood First,’ which primarily plans to strengthen relations with its South Asian neighbours. In this context, India -Sri Lanka relations have been considered by scholars in South Asian politics in recent times. Relations between both countries during the immediate post-civil war period deteriorated with some better experiences. However, relations have been progressing since 2015 in the context of changing new governments in both countries. This paper examines the contemporary relations between India and Sri Lanka in the post-COVID pandemic era. The research paper is based on secondary data from books and journal articles in the relevant disciplines. Further, recent data was collected from printed and electronic media reports. The collected data were analyzed using a descriptive-analytical method. The economic crisis in Sri Lanka faced many adversities in the country. In this context, India offered her cooperation to rebuild the collapsed economy in Sri Lanka. India extended her financial and humanitarian assistance to the government of Sri Lanka. In addition, India signed some bilateral cooperation pacts in investment projects on energy, economic, development, and cultural relations by enhancing the relations between the two countries and the people-to-people of both countries. In addition, official visits of the two premiers during times of crisis in Sri Lanka initiated mutual relations again. It was proved that India was keen to initiate her policy of ‘Neighborhood First” towards her immediate maritime neighbour.