"For 30 years you saw the war, now you have seen 4 years of development", Rajapaksa said in Kilinochchi, the former LTTE administrative capital.
Addressing a gathering in Tamil, Rajapaksa heralded many government development projects in the post-conflict phase. "We have given you development never seen before," he said.
He urged Lankan Tamils to recognise the alleged negative impact caused by the Tamil diaspora.
Rajapaksa's visit comes ahead of an expected official declaration from him later this month on his pledged northern provincial council election in September.
He also opened a domestic air strip at Iranamadu, located on a former LTTE airstrip. Sri Lanka airforce spokesman Andy Wijesuriya said the Iranamadu airport would provide a boost to tourism in the north.
The President also laid the foundation to build homes in the Nanthikandal where the final battle between the LTTE and government troops took place.