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.

Comments

Read More

Latest News

MDP to stage protests if referendum is not held on Rasmale' deal

The Maldivian Democratic Party (MDP) has passed a resolution to launch mass protests if the government does not hold a public referendum regarding the Rasmalé project. The opposition demands a halt to the project, citing concerns over secret financing and the potential sale of the site to a foreign businessman.

Nasheed announces full support for Rasmale' project

Former President Mohamed Nasheed has declared his full support for the government's plan to sell part of the Rasmalé project to a UAE businessman. Despite opposition within the MDP calling for a public referendum, Nasheed argues the investment will yield long-term benefits for the Maldives. He remains the sole party member against the move.

Chinese Ambassador applauds Muizzu's successful Pakistan trip

Chinese Ambassador Kong Xianhua praised President Muizzu’s successful state visit to Pakistan, where 20 agreements were signed to boost bilateral trade. The meeting between Chinese and Pakistani officials highlights strengthening ties, which India is monitoring closely given the regional dynamics and its own financial support to the Maldives.

Defence Minister visits the UAE embassy

Defence Minister Hassan Rasheed met with UAE Chargé d'Affaires Heba Al Jneibi to discuss strengthening bilateral ties. The visit follows controversy over a deal to sell 500 hectares of the Rasmalé reclamation project to UAE-based Eagle Hills. This move contradicts President Muizzu’s earlier pledge to keep the land under local ownership.

Commission formed to investigate the alleged sale of territory

President Muizzu has formed a commission to investigate the alleged sale of Maldivian maritime territory during a boundary dispute with the Chagos Archipelago. The inquiry will examine potential legal negligence by the previous administration and recommend actions against those responsible to prevent future occurrences.

Boating Association demands probe over diver altercation

The National Boating Association of Maldives has called for a formal probe into a viral video showing an underwater physical struggle between two diving teams. The NBAM condemned the incident and urged authorities to investigate the ownership and regulatory compliance of the vessels involved to protect the industry's reputation.

Five injured after gas cylinder explosion at Hulhumale’ cafe

Five people were injured, with four hospitalized, after a gas cylinder exploded at a cafe in Hulhumale' Phase 1. Emergency teams responded to the resulting fire near the Ruhgandu 1 area. Police are currently investigating the cause of the blast.

Newsletter

Get the latest news delivered straight to your inbox