MALÉ, Maldives: Indian Prime Minister Narendra Modi wrapped up a visit to the Maldives on Saturday (Jul 26), renewing ties by offering infrastructure projects and vital financial assistance to the cash-strapped Indian Ocean nation.
Regional powerhouse India had been concerned that its small, yet strategically located neighbour was drifting towards the orbit of its rival China following the 2023 election of President Mohamed Muizzu on an anti-India platform.
Since coming to office, Muizzu has secured the withdrawal of a small contingent of Indian military personnel who operated search-and-rescue aircraft in the archipelago.
But he has since toned down his anti-India rhetoric, and on Friday he touted the two nations’ collaboration on security and trade.
“India has long stood as the Maldives’ closest and most trusted partner,” Muizzu said in a banquet speech alongside Modi, whom he met with twice last year.
“We deeply value the friendship of India and are grateful for the timely assistance your country has extended to us in moments of need,” Muizzu added.
Shortly after his arrival on Friday, Modi unveiled a US$565 million credit line for the Maldives, which is facing a severe foreign exchange shortage despite its thriving tourism industry.
India also reduced annual repayments of an earlier credit line from US$51 million to US$29 million, and the two sides discussed a potential free-trade agreement.
https://www.channelnewsasia.com/asia/indias-modi-renews-ties-maldives-5260556
