Government consults business leaders on FTA with India

Jun 28, 2026, 8:33 AM
India-Maldives trade agreement consultation in progress

India-Maldives trade agreement consultation in progress

The government has begun consultations with local business leaders to gather their perspectives and input regarding the proposed Free Trade Agreement (FTA) currently being negotiated with India.

As part of this initiative, the Economic Ministry recently held a series of consultative meetings with members of the business community.

According to a businessman who attended the session, participants raised several questions regarding the potential challenges the agreement could pose to the Maldivian economy and local enterprises.

Concerns were raised about whether Maldivian businesses would be granted genuine ease of access to a market as vast as India’s, and whether the agreement would ensure a level playing field for opportunities between the two nations.

"We haven't truly seen the benefits from the agreement signed with China. It remains unclear what the outcome will be with India. Even now, Indian companies are undertaking major projects in the Maldives. We need to know if Maldivians will have reciprocal opportunities in India," a concerned businessman remarked during the meeting.

"It does not appear that those spearheading this have a clear strategy for securing opportunities for Maldivian entrepreneurs within India."

He further noted that the Economic Ministry has assured stakeholders that once negotiations reach a final stage, the details of the FTA will be shared with the business community.

The decision to initiate talks for a Free Trade Agreement between the Maldives and India was reached during President Mohamed Muizzu’s official state visit to India in 2024.

During a joint press conference with Indian Prime Minister Narendra Modi during that visit, Muizzu expressed his commitment to pursuing these negotiations to further strengthen the economic ties between the two countries.

The Maldives has previously signed a similar Free Trade Agreement with China.

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