India, Maldives sign 8 key deals across finance, digital, fisheries sectors

Business Standard

2 days ago

India and the Maldives on Friday exchanged eight key agreements covering a wide range of sectors, including Line of Credit, debt repayment, fisheries, digital transformation, and Unified Payments Interface (UPI), in the presence of Prime Minister Narendra Modi and Maldivian President Mohamed Muizzu.
"Delighted to exchange eight Agreements related to Line of Credit, debt repayment, FTA, fisheries & aquaculture, digital transformation, pharmacopoeia and UPI in the presence of PM @narendramodi and President @MMuizzu today in Male," External Affairs Minister S. Jaishankar posted on X.
Confirming the development, the President's Office of the Maldives stated, "President witnesses exchange of key MoUs and agreements between the Maldives and India."
The exchange of agreements set the tone for high-level discussions that followed, as Prime Minister Narendra Modi and President Mohamed Muizzu took stock of the implementation of the India-Maldives Joint Vision for a 'Comprehensive Economic and Maritime Security Partnership', with the Prime Minister reiterating India's commitment to deepening bilateral ties under its "Neighbourhood First" and Vision MAHASAGAR policies.
PM Modi, who is on a two-day visit to Maldives, met President Muizzu at the President's Office in Male.
President Muizzu appreciated India's commitment of being the First Responder for Maldives when it came to dealing with any crises. The two leaders discussed cooperation in the fields of development partnership, infrastructure support, capacity building, climate action and health. They also called for further strengthening defence and maritime security cooperation and, in this regard, noted the collaboration between the two countries under the Colombo Security Conclave.
The two leaders also reviewed the economic partnership between the two countries. Prime Minister 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. The two leaders highlighted that the close development partnership between the countries was adding new value to the already strong people-to-people ties.
The two leaders noted that, as Global South partners, they would continue to work on issues such as climate change, promotion of renewable energy, disaster risk reduction and weather science in the interests of the planet and its people.
Prime Minister thanked President Muizzu for his strong condemnation of the Pahalgam terror attack, and the solidarity extended to India in the fight against terrorism.
The two leaders witnessed exchange of six MOUs in the fields of fisheries and aquaculture, meteorology, digital public infrastructure, UPI, Indian pharmacopoeia and concessional Line of Credit.
The new Line of Credit offers Rupees 4850 crores [ approx $550 million] in support of infrastructure development and other activities in Maldives. An Amendatory Agreement for the existing LoCs was also exchanged. It reduces Maldives's annual debt repayment obligations by 40% [from $51 million to 29 million]. Both sides also exchanged Terms of Reference of the proposed Free Trade Agreement.
The two leaders also virtually inaugurated a roads and drainage system project in Addu city and six High Impact Community Development Projects in other cities. Prime Minister handed over 3,300 social housing units and 72 vehicles for Maldives National Defence Force and Immigration authorities.
Prime Minister also handed over two units of Aarogya Maitri Health Cube [BHISHM] sets to the Government of Maldives. With state-of-the-art medical equipment as part of the cube, it can provide medical aid to 200 casualties with in-built support to sustain a crew of six medical personnel for up to 72 hours.
In keeping with their deep commitment to conserving nature, the two leaders planted mango saplings as part of India's "Ek Pedh Maa Ke Naam" [Plant for Mother] and Maldives's "Pledge of 5 million Tree Plantation" campaigns.
Prime Minister reiterated India's commitment to support Maldives and its people, as per its requirements and priorities, and for the peace, progress and prosperity of the Indian Ocean region.
Ahead of the meeting, Prime Minister was received by President Muizzu and accorded a ceremonial welcome at Republic Square. The meeting was marked by warmth and a reaffirmation of the deep-rooted friendship between the two nations.
Prime Minister expressed heartfelt appreciation for the gracious hospitality extended to him and his delegation and conveyed his best wishes on the historic occasion of the 60th anniversary of the independence of Maldives as also on the special occasion of the 60th anniversary of establishment of diplomatic relations between the two nations.
The two leaders reflected on the deep bonds of friendship and trust that have been built over centuries, strengthened by strong people-to-people ties.
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