Sri Lanka is a small island almost like a tiny tear drop that lies in the Indian Ocean which is sometimes known by other names such as " The Lost Paradise ", " The Land Of Serendipity ", " The Resplendent Land " and " The Pearl Of The Indian Ocean " among others by non-natives . Sri Lanka lies to the southwest of the Bay of Bengal and to the southeast of the Arabian Sea. The island seperates itself from the Indian subcontinent by the Gulf of Mannar and the Palk Strait (named after James Palk ).