Eight agreements with India include FTA and $565 million LOC

Jul 25, 2025, 1:56 PM
Eight agreements with India include FTA and $565 million LOC

Maldives and India today signed eight agreements, including the establishment of a Free Trade Agreement (FTA) and a new USD 565 million (MVR 8.7 billion) Line of Credit (LOC) for development projects.

The agreements were exchanged at a ceremony held at the President's Office on Friday evening during Prime Minister Narendra Modi's two-day official visit to the Maldives.

An agreement was also signed to facilitate repayment of the amount used in the USD 800 million LOC during former President Ibrahim Mohamed Solih's administration.

In a post on X earlier on Friday, Solih said USD 450 million of the USD 800 million LOC remains unused.

Other agreements exchanged between the two countries include cooperation in fisheries, climate and environment, digital transformation, import of quality medicines and an agreement with the Maldives Monetary Authority (MMA) to launch India's Unified Payments Interface (UPI) service.

This is Modi's third visit to the Maldives. He previously visited the country in 2018 and 2019. He is the first head of state to visit the Maldives during the Muizzu administration.

Comments

Read More

Latest News

Saudi Ambassador to be dismissed following refusal to join PNC

The Maldivian government is dismissing Ahmed Sareer, the Ambassador to Saudi Arabia, after he refused to join the ruling PNC party. Despite his 40-year diplomatic career, Sareer is being removed as part of a broader directive requiring all diplomats to join the political party, ending a long-standing tradition of neutrality.

Govt to seal Rasmale' deal on Republic Day

The Maldives government plans to sign a definitive agreement with UAE-based Eagle Hills on Republic Day to grant 500 hectares of land for the Rasmalé project. Legislative changes are underway to accommodate the deal, which involves no land acquisition fees. The project chairman confirmed they will comply with all local leasehold laws.

Indian arrested at VIA smuggling MVR 900,000

An Indian national was arrested at Velana International Airport for attempting to smuggle over MVR 900,000 in undeclared foreign currency. The seizure is part of a major government crackdown on illegal dollar trading and unauthorized business activities by foreigners in the Maldives.

Falah accuses Khaleel of prioritising personal gain over nation

PNC leader Ibrahim Falah has accused former Foreign Minister Abdulla Khaleel of putting personal gain above national interests. The criticism follows Khaleel’s public concerns over the Rasmalé project, which involves land allocation to a UAE firm. Falah claims Khaleel’s opposition proves he no longer prioritizes the country's welfare.

Three arrested in alcohol network bust

Police arrested three individuals and seized a large quantity of alcohol during a raid on a distribution network in Malé. The joint operation targeted a residence in the Henveiru ward after a lengthy investigation. Authorities have identified several key players involved in the city's large-scale illegal alcohol trade.

Resolution demands transparency over Rasmalé deal

MP Meekail Ahmed Naseem submitted a resolution to the People’s Majlis demanding transparency over the Rasmalé development deal with Eagle Hills. The move seeks to disclose commercial terms and ensure legal compliance, following concerns that the government is withholding information about granting land to a foreign entity.

Thilafushi Port: Agreements with Chinese firm classified

Maldives Ports Limited has classified its agreements with China Harbour Engineering Company regarding the Thilafushi Port relocation. Officials refused to disclose contract values or specific details, citing legal consultations. This lack of transparency follows government concerns over foreign influence and diplomatic shifts.

Newsletter

Get the latest news delivered straight to your inbox