India–Maldives Ties: 8 key pacts inked in PM Modi-Muizzu meet; UPI, debt relief, fisheries, FTA on table
India and the Maldives on Friday exchanged eight important agreements covering debt repayment, fisheries, digital payments, and a new Line of Credit worth Rs 4,850 crore, during PM Narendra Modi's visit to Malé.
In the presence of PM Modi and Maldivian President Mohamed Muizzu, both sides reaffirmed their commitment to a stronger economic and maritime partnership. India agreed to ease Maldives' loan repayment burden by 40%, and push digital ties through UPI, RuPay and local currency trade.
PM Modi also handed over 3,300 social housing units, vehicles for security forces, and medical aid kits. He and President Muizzu jointly inaugurated infrastructure projects and pledged cooperation on climate, disaster risk, and renewable energy.
The visit also marked 60 years of Maldives' independence and India-Maldives diplomatic ties. PM Modi called the agreements a reflection of India's 'Neighbourhood First' approach and long-standing friendship with the island nation.
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Muizzu, who came to power in 2023 amid calls to reduce India's footprint, struck a very positive tone throughout the visit. 'India has long stood as the Maldives' closest and most trusted partner,' he said. 'Our collaboration spans a wide range of areas, from security and trade to healthcare, education, and beyond touching the everyday lives of our citizens… In pursuing our national goals, India's partnership remains invaluable.' In a significant move, Modi held a 'meaningful' interaction with leaders from various Maldivian political parties. 'The participation of leaders across the political spectrum underscores the bipartisan support for the strong and time-tested India-Maldives friendship,' he said. The Prime Minister also met former President Mohamed Nasheed and engaged with the Indian community, saying, 'The Indian diaspora continues to be one of the strongest bridges between India and the world. We are very proud of our diaspora.' The visit also saw Modi meet with Vice President Uz Hussain Mohamed Latheef, who said it was 'an honour' to call on the Indian Prime Minister. 'As this year marks 60 years of formal diplomatic relations with India, the Prime Minister and I reflected on the journey of friendship and reciprocal support our countries have undertaken. I hope that the strong cooperation with India continues to grow and strengthen,' Latheef said. Modi also met Speaker of the People's Majlis Abdul Raheem Abdulla and welcomed the formation of the India-Maldives Parliamentary Friendship Group. 'India remains committed to supporting capacity building in the Maldives,' he said.
