During his talks with President Maithripala Sirisena, Key, who arrived here last night and today began bilateral talks with President Maithripala Sirisena and Prime Minister Ranil Wickremesinghe, assured New Zealands' support for the ongoing reconciliation efforts, officials said.
Key was accorded a Guard of Honour at the presidential secretariat this morning.
He became the first New Zealand Prime Minister to make an official bilateral visit to the island nation in many decades.
He is due to address the premier business chamber, Ceylon Chamber of Commerce today. Key will also inaugurate a dairy farming facility and a training centre in the north western region of Pannala.
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Sirisena, who came to power last year after ending nearly a decade-long regime of former president Mahinda Rajapaksa, has taken several steps to achieve reconciliation with the Tamil minority.
Several confidence-building-measures such as the release of Tamils-owned lands, lifting of travel restrictions to the North and de-escalating the military presence have been taken since January.