Prime Minister Narendra Modi and Maldives President Dr. Mohamed Muizzu met today to discuss and enhance the historically close relationship between the nations. Their talks resulted in a vision for a Comprehensive Economic and Maritime Security Partnership aimed at bolstering cooperation across various sectors.
Commitment to Development
During the meeting, PM Modi emphasized India’s commitment to the Maldives under its ‘Neighbourhood First’ policy, noting the significant progress made in bilateral ties. President Muizzu expressed gratitude for India’s timely financial assistance, including a rollover of $100 million in T-bills and a new $400 million bilateral currency swap agreement. These efforts are crucial for addressing the Maldives’ financial challenges.
Following the talks India today granted cash-strapped Maldives a USD100 million Treasury bills roll over, in addition to both sides inking a USD 400 million and Rs 3,000 crore currency swap agreement.
New Framework for Cooperation
The leaders recognized the opportunity to transform their relationship into a more comprehensive partnership. Key agreements include:
Political Exchange
Increased exchanges between leaders, parliamentarians, and local representatives, including a Memorandum of Understanding to facilitate institutional cooperation between the two Parliaments.
Focus on Development Cooperation
Both countries agreed to collaborate on ongoing development projects that benefit the Maldivian people. Key initiatives include:
– Support for infrastructure projects such as the Greater Malé Connectivity Project and the development of Thilafushi’s commercial port.
– Assistance in housing projects and the establishment of an “Agriculture Economic Zone” in Haa Dhaalu atoll.
Trade and Economic Initiatives
Recognizing untapped trade potential, India and Maldives plan to:
– Initiate discussions on a Bilateral Free Trade Agreement.
– Promote local currency transactions to deepen trade linkages.
– Enhance bilateral investments and tourism efforts.
Advancements in Digital and Financial Sectors
The leaders agreed to share expertise in digital services and infrastructure, aiming to improve governance and service delivery through projects like India’s Unified Payments Interface (UPI). They also welcomed the launch of the RuPay card in the Maldives to facilitate transactions for Indian tourists.
Energy and Health Cooperation
India and Maldives will explore renewable energy projects to enhance energy security. Additionally, they plan to deepen health cooperation by improving access to quality healthcare and establishing India-Maldives Jan Aushadhi Kendras for affordable medicines.
Strengthening Defense and Security
Acknowledging shared maritime challenges, both nations agreed to enhance defense cooperation. India will assist the Maldives in improving surveillance capabilities and developing necessary defense infrastructure.
Capacity Building and Training Initiatives
Both countries committed to expanding training programs tailored to the needs of Maldivian civil servants and entrepreneurs, including initiatives to promote women-led development.
Enhancing People-to-People Links
The partnership will also focus on strengthening people-to-people connections, with plans to establish consulates in key cities to promote trade and tourism, as well as enhancing educational and cultural exchanges.
Regional and Multilateral Cooperation
India and Maldives reaffirmed their commitment to working together in regional and international forums, particularly through the Colombo Security Conclave, to ensure maritime security in the Indian Ocean.
The leaders instructed their officials to implement the new cooperative measures efficiently. A High-Level Core Group will be established to oversee the progress of this partnership, aiming for mutual benefit and stability in the region.
Muizzu’s five-day state visit to India includes stops in Mumbai and Bengaluru for business events.
