India's Modi renews ties with Maldives
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.
Modi announces $565-million credit line for debt-plagued Maldives
'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 $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 $51 million to $29 million, and the two sides discussed a potential free-trade agreement.
Muizzu said the new credit line would bolster the Maldives' security forces, and improve healthcare, housing and education.
During his two-day trip, Modi also inaugurated a new defence ministry headquarters and several India-funded infrastructure projects, including roads and a 4,000-unit housing scheme.
Modi's visit had set 'a clear path for the future of Maldives-India relations', Muizzu wrote on X on Saturday as the Indian leader left the capital Male after 60th Independence Day celebrations.
'Our relationship continues to grow, shaped by people-to-people ties and cooperation in various sectors,' Modi wrote in his own post on X.
'India remains committed to supporting the aspirations of the Maldivian people.'
Known for its luxury tourism and pristine beaches, the Maldives is also a geopolitical hotspot, with key global shipping lanes passing through its 1,192 islands, stretching across 800 kilometres (500 miles) of the equator.
China and India are the Maldives' two largest bilateral lenders.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Express Tribune
an hour ago
- Express Tribune
Indian Supreme Court to hear plea on restoration of IIOJK's special status
A woman stands next to Amir Nazir Wani's family house, which was destroyed by the Indian authorities, in Khasipora village in Tral, occupied Kashmir on April 27, 2025. — Reuters/Adnan Abidi Listen to article India's top court will hear a plea for the restoration of Indian Illegally Occupied Jammu and Kashmir's (IIOJK) federal statehood later this week, court officials said Tuesday, as the region marked six years under direct rule from New Delhi. The hearing, scheduled for August 8 in the Supreme Court, follows an application filed by two residents of the Muslim-majority territory. Prime Minister Narendra Modi's Hindu nationalist government in August 2019 revoked IIOJK limited autonomy and brought it directly under federal control. The move was accompanied by mass arrests and a communications blackout that ran for months as India bolstered its armed forces in the region to contain protests. The removal of Article 370 of the constitution, which enshrined the Indian-occupied region's special status, was challenged by IIOJK's pro-India political parties, the local bar association and individual litigants. The Supreme Court in December 2023 upheld removing the region's autonomy but called for IIOJK to be restored to statehood and put on a par with any other Indian federal state "at the earliest and as soon as possible". "We have moved an application seeking a definitive timeline for the restoration of statehood," said the petitioners' lawyer, Soayib Qureshi. "It has been quite some time since the court asked for it and elections have also been successfully held." Last November, IIOJK elected its first government since it was brought under New Delhi's direct control, as voters backed opposition parties to lead its regional assembly. But the local government has limited powers and the territory continues to be for all practical purposes governed by a New Delhi-appointed administrator. Indian security forces were deployed in force in the Himalayan territory on Tuesday, eyeing protests demanding the restoration of its special status.
Business Recorder
3 hours ago
- Business Recorder
India's Berger Paints misses quarterly profit view on higher expenses, one-time charge
Berger Paints India reported quarterly profit below analyst estimates on Tuesday, as higher expenses and a one-time charge related to a fire incident weighed. Consolidated net profit shrank 11% to 3.15 billion rupees (about $36 million) in the quarter ended June 30. Analysts, on average, had predicted a profit of 3.62 billion rupees, as per data compiled by LSEG. Berger took a one-time charge of 368.1 million rupees during the quarter. Key context Indian paintmakers have been grappling with soft retail demand. 'The early onset of monsoon played spoilsport this quarter,' CEO Abhijit Roy said in a statement. However, India's largest paintmaker Asian Paints said last month that it sees some 'green shoots' of demand recovery in the sector. It had resorted to discounts in the quarter to buy back customers, while it posted an in-line quarterly profit. Rivals, Akzo Nobel India and Kansai Nerolac posted lower quarterly profit.
Business Recorder
4 hours ago
- Business Recorder
Indian jeweller Titan eyes shifting some manufacturing to Gulf as US trade tensions escalate
DUBAI: India's biggest jeweller and watchmaker Titan is exploring shifting some manufacturing to the Middle East Gulf to maintain low-tariff access to U.S. markets amid trade tensions between Washington and New Delhi, Managing Director C.K. Venkataraman said on Tuesday. Titan, part of the Tata Group conglomerate, announced this month plans to acquire a majority stake in Dubai-based luxury retailer Damas, which operates 146 stores across the Gulf. In light of the deal, valued at $283 million, Venkataraman told Reuters the region is being considered 'as a manufacturing base to export to the U.S.' His comments reflect how global companies may seek new routes to navigate trade barriers, as the U.S. levies or threatens tariffs on international trade partners. Last month, U.S. President Donald Trump slapped a surprise 25% tariff on imports from India and threatened further hikes this week over India's purchases of Russian oil. In contrast, the United Arab Emirates faces a 10% tariff under Trump's baseline rate. Indian jeweller Titan to buy large stake in Dubai's Damas Titan's Tanishq brand has several U.S. stores and is planning a major expansion, while its diamond-focused label CaratLane launched in the U.S. in October, the company said. Titan began talks to buy Damas in 2024, before U.S. trade policy shifts came into focus. Shifting some manufacturing to a Gulf Cooperation Council country would be a way to mitigate recent rises in U.S. tariffs, Venkataraman said in a video call with Reuters. The U.S. is a less feasible manufacturing base due to cost and skills constraints, especially for artisan-made jewellery, he said. 'If the tariffs remain like what they are currently threatened to be, then any arbitrage on a tariff … any significant arbitrage would be meaningful for us to consider,' Venkataraman said.
