PM Modi announces $565 million credit line, boosts infrastructure, security ties with Maldives
New Delhi, Jul 25: Prime Minister Narendra Modi reaffirmed India’s steadfast commitment to the Maldives’ development and regional security during a joint press statement with President Mohamed Muizzu on the eve of the 60th anniversary of Maldivian independence. Prime Minister Modi extended greetings on behalf of all Indians and hailed the deep-rooted ties between the two nations.
“The roots of our relations are older than history, and as deep as the ocean,” he remarked, calling India not just a neighbour, but “the most trusted friend of Maldives.”
Marking the occasion, PM Modi announced a new Line of Credit worth $565 million (around Rs 4,850 crore) to support infrastructure projects aligned with Maldivian priorities. “This will be used for projects related to the development of infrastructure in Maldives,” he said. The Prime Minister also highlighted joint initiatives such as the Greater Malé Connectivity Project, the Addu Road Development Project, and the redevelopment of Hanimaadhoo International Airport. He said these developments would turn the region into “an important transit and economic centre.” Referring to enhanced ferry linkages, he quipped, “After that, the distance between the islands will not be measured by GPS, but only by ferry time!” The two sides also discussed intensifying economic cooperation. India will work towards finalising a Bilateral Investment Treaty, and free trade negotiations have begun. Emphasising ease of commerce, the Prime Minister said, “Our goal is: from paperwork to prosperity!” India’s digital payment platform UPI is being rolled out in Maldives, which PM Modi said would benefit both tourism and local retail. A local currency settlement system is also being pursued to enable trade in Indian Rupees and Maldivian Rufiyaa.
On defence, PM Modi inaugurated a new Ministry of Defence building in Malé, constructed with Indian assistance, calling it “a concrete building of trust.” He reaffirmed that “India will continue to support Maldives in the development of its defence capabilities,” and pledged further cooperation through the Colombo Security Conclave to enhance regional maritime security. The leaders also agreed to cooperate in weather science and renewable energy. “Whatever the weather, our friendship will always remain bright and clear,” the Prime Minister said. Concluding his remarks, Prime Minister Modi thanked President Muizzu for the invitation and reiterated, “I assure you once again that for the development and prosperity of Maldives, India will be with you at every step.”
