New Sri Lankan government promises cautious reform

Significance

According to results announced thus far, the UNP has won nearly 46% of the vote and 93 seats in the 225-member parliament -- close to the 113 half-way mark. Former President Mahinda Rajapaksa's seven-party United People's Freedom Alliance (UPFA) has won 83 seats and under 43% of the vote, but Wickremasinghe's coalition -- the United National Front for Good Governance (UNFGG) -- is expected to secure a parliamentary majority, delivering him to the prime minister's office.

Impacts

• Major subsidy reductions are unlikely.
• Colombo's policy towards China will be conciliatory, favouring compromise over confrontation.
• India-Sri Lanka relations will continue to improve as long as Colombo addresses minority grievances.