Appreciate the pivotal role played by India in supporting Maldives: Muizzu

Male, July 25 (IANS) Welcoming Prime Minister Narendra Modi to Maldives as the island nation celebrates 60th anniversary of its independence, the country's President Mohamed Muizzu on Friday hailed the beginning of negotiations of Free Trade Agreement (FTA) between the both nations.

As the two nations mark six decades of establishment of diplomatic ties this year, Muizzu highlighted that four Memorandums of Understanding (MoUs) and three agreements across several sectors were signed in the presence of PM Modi on Friday. He appreciated India's role in supporting Maldives to manage economic and liquidity challenges.

"Today we have jointly released a commemorative stamp to mark the 60th anniversary of establishment of formal diplomatic relations between the Maldives and India. This afternoon, Prime Minister Modi and I had extensive discussions. We reflected on the successes of our shared development journey and we charted a clear path for future cooperation," said Muizzu.

This is Prime Minister Modi's third visit to Maldives - he had visited the Indian Ocean archipelago in 2018 and 2019, earlier - and the first by a Head of State or Government to Maldives during the Presidency of Mohamed Muizzu which began in November 2023.

"Expanding our cooperation, Prime Minister Modi and I had the honour of witnessing the exchange of four MoUs and three agreements on several key areas. Among these include a Line of Credit agreement of USD 565 million. This LoC will be utilized for priority projects of my government across key sectors including defence, sports, health care, education, and housing. I'm also pleased to announce the initiation of negotiations for a Free Trade Agreement between India and Maldives.

"This landmark initiative marks a significant step forward in strengthening our economic partnership. We appreciate the pivotal role played by India in supporting the Maldives to manage economic and liquidity challenges through USD 400 million currency swap facility and interest-free one-year rollover of the Treasury bill in May 2025," the Maldivian President commented.

He stated that, once completed, the Greater Male connectivity project will "stand as a lasting symbol of enduring partnership" between two nations. He expressed gratitude to India for providing 72 vehicles to the Maldives National Defence Force (MNDF).

Terming India's assistance to Maldives through the export of essential commodities a "key facet" of bilateral cooperation, Muizzu said, "India's continued assistance to the Maldives through the export of essential commodities is a key facet of our bilateral cooperation under the longstanding trade agreement. Today we inaugurated a key project funded under the India's Line of Credit assistance ad roads project. Prime Minister and I reviewed the progress of ongoing line of credit projects and high impact community development projects."

Expressing gratitude to India for its assistance to Maldives, he said, "I express my sincere appreciation to India for the provision of 72 vehicles to the Maldives National Defence Force. The handover of the remaining 3,300 housing flats from the 4,000 housing units project marks a major step forward in my government's policy in addressing housing needs across the Maldives. I thank the government of India for its role as the Maldives's principal partner in the health sector. The donation of medical cubes is a critical asset for a geographically dispersed nation like the Maldives."

Calling India a "key source market" for Maldives tourism, Muizzu said that he and PM Modi discussed ways to expand tourism sector, including through commencement of direct flights.

"India remains a key source market for Maldivian tourism. We discussed ways to expand this vital sector through enhanced cooperation and connectivity including commencement of direct flights to further enhance this connectivity. On environmental cooperation, we explored opportunities for technical support in capacity building, in waste management biodiversity conservation, renewable energy and water and sanitation," he said.

He expressed Maldives support for India as the host of COP33 and expressed confidence about India's capability to lead global efforts towards a successful and impactful outcome.

"The Maldives will extend its full support for India as the host of COP33. We confidently recognize India's capability to lead global efforts towards a successful and impactful outcome. Our people-to-people connections have long been the foundation of the relationship between the Maldives and India. Through cultural exchanges, tourism, education, and familial bonds, we continue to strengthen mutual understanding and goodwill between our nations. Looking ahead, we are fully committed to further strengthen our cooperation with India across a broad range of sectors through exchange of high level visits," he said.

--IANS

--int/akl/as