Published on: July 29, 2025

INDIA-MALDIVES TIES

INDIA-MALDIVES TIES

  • Diplomatic Thaw & Economic Boost
    • PM Modi announces ₹4,850 crore line of credit to Maldives.
    • Launch of FTA (Free Trade Agreement) negotiations and plans for a bilateral investment treaty.
    • Emphasis on enhancing trade, defence, tourism, and infrastructure cooperation.
  • Major Agreements & Infrastructure Support
    • 4 MoUs & 3 agreements exchanged:
      • MoU on fisheries and aquaculture.
      • MoU on digital public infrastructure sharing.
      • India hands over 3,300 housing units in Hulhumale.
      • Inauguration of Addu roads and drainage system.
      • Supply of 72 heavy defence vehicles to Maldives.
    • Defence & Strategic Cooperation
      • Strengthened security under Colombo Security Conclave.
      • India to support Maldives’ defence capabilities.
      • Modi highlights SAGAR and MAHASAGAR as guiding visions for regional security and growth.
    • Political Context & “India-Out” Campaign
      • Relations strained under Muizzu’s “India-out” stance.
      • Recent outreach signals diplomatic recalibration.
    • Tourism & Connectivity
      • Direct flight discussions to boost people-to-people ties.
      • India is a top tourism source for Maldives.
    • Geostrategic Significance
      • Maldives lies 70 nautical miles from Minicoy; key to India’s Indian Ocean maritime strategy.
      • Vital for sea-lane security and regional balance.
    • Neighbourhood First Policy
      • Maldives a core part of India’s neighbourhood outreach, aligned with SAGAR doctrine since 2015.
    • Commemorative Highlights
      • Modi to attend Maldives’ 60th Independence Day as Guest of Honour.
      • Release of commemorative stamp marking 60 years of diplomatic ties.
Significance of Maldives for India

·       Location and maritime security: Maldives’ proximity to the west coast of India, and its location at the hub of commercial sea lanes running through the Indian Ocean imbues it with significant strategic importance to India. The security scenario in India’s periphery in the Indian Ocean is very much linked to the maritime strength of Maldives.

·       Defence: This is the reason why India invests on Maldives’ security by training its defence forces. Estimates suggest that almost 70 per cent of Maldives’ defence training is done by India

·       China: India is obviously concerned at the expanding Chinese footprint there. So, from a purely strategic perspective, India needs Maldives on its side to secure its maritime periphery, keep an eye on the Indian Ocean, and check the influence of China in its neighbourhood.