India signed six Memoranda of Understanding (MoUs) with the Maldives to enhance cooperation across multiple sectors following wide-ranging talks between Prime Minister Narendra Modi and Maldives President Mohamed Muizzu at the President’s Office in Male yesterday.
The key areas include fisheries and aquaculture, meteorology, digital public infrastructure, UPI, Indian pharmacopoeia and concessional Line of Credit. India announced a new Line of Credit of 4850 crore rupees to support the infrastructure development and other activities in the Island Nation.
An Amendatory agreement was also exchanged between the two countries which reduces Maldives’ annual debt repayment obligations by 40 per cent, from 51 million dollars to 29 million dollars. Both sides also announced the commencement of negotiations for the launch of a Free Trade Agreement. They exchanged Terms of Reference of the proposed FTA in this regard.
During their talks, Prime Minister Modi and President Muizzu reviewed the entire spectrum of bilateral relations and reaffirmed their commitment to further strengthening the ties. They called for further strengthening defence and maritime security cooperation between India and the Maldives.
The two leaders discussed cooperation in the fields of development partnership, capacity building, health, infrastructure, digital economy, aquaculture, climate change and renewable energy. Prime Minister Modi thanked President Muizzu for his strong condemnation of the Pahalgam terror attack, and the solidarity extended to India in the fight against terrorism.
In a joint press statement after the talks, Prime Minister Modi said India and the Maldives are celebrating sixty years of diplomatic ties, describing their relationship as older than history and as deep as the sea. He also assured India’s continued support to the Maldives in strengthening its defence capabilities. He added that mutual cooperation in defense and security reflects the mutual trust between the nations.
Prime Minister Modi emphasized that peace, stability, and prosperity in the Indian Ocean region is a shared goal. He announced that both nations will work together to strengthen regional maritime security at the Colombo Security Conclave.
Prime Minister Modi underscored that the proposed Free Trade Agreement and the Bilateral Investment Treaty would open new opportunities for both sides. Noting that the two countries must take advantage of the digital economy, especially to promote tourism, he welcomed the recent understandings on UPI adoption, acceptance of RUPAY card and trade in local currencies.
Speaking on the occasion, Maldives President Dr. Mohamed Muizzu expressed gratitude to India for extending a Line of Credit. He stated the Line of Credit will be utilized in various sectors, including defense, ports, healthcare, education, and housing. President Muizzu highlighted that India is the principal partner of Maldives in the healthcare sector. He assured that Maldives is committed to further strengthening cooperation with India.
Later, Prime Minister Modi and Maldives President jointly inaugurated the new building of the Ministry of Defence of the Government of the Maldives, constructed with financial support from India. The two leaders also virtually inaugurated a road and drainage system project in Addu city and 6 High Impact Community Development Projects in other cities. Prime Minister Modi handed over 3,300 social housing units and 72 vehicles for Maldives National Defence Force and Immigration authorities. Mr Modi reached Male yesterday on a two-day visit to Maldives after concluding his tour to the United Kingdom.
Prime Minister Narendra Modi yesterday virtually inaugurated road and drainage System project in Addu City of the Maldives. The project includes 111 km of roads, 106 km of drainage works and 160 km of street lighting. India’s Exim Bank has provided a line of credit for this project and works are carried out by the Afcons Infrastructure Limited.
In an exclusive interview with Akashvani News, Afcons Infrastructure Limited’s Executive Vice President Mr. Krishnamurthy, said, executing the project was an engineering feat. He added that inaccessible areas limited their use of heavy machinery, so they innovated with custom-built lifting solutions, including wheeled lifters.
