PM Modi, Muizzu Ink Pact On Currency Swap, Discuss Possible Maldives Consulate In Bengaluru

Standing alongside President Mohamed Muizzu, Prime Minister Narendra Modi on Monday announced that India has rolled over USD 100 million worth of treasury bills of the island nation and agreed to sign a USD 400 million currency swap deal.

Modi made this announcement during Muizzu’s first visit to the country after the two leaders also held talks on a possible Male consulate in Bengaluru. Earlier today, Modi and Muizzu held extensive discussions on strengthening bilateral ties that are emerging after hitting a rocky patch last year.

“First of all, I extend a hearty welcome to President Muizzu and his delegation. India and Maldives relations are centuries old. India is Maldives’ nearest neighbour and close friend. Maldives holds an important position in our neighbourhood policy and SAGAR vision,” Modi said.

“India has always played the role of first responder for Maldives…India has always fulfilled the responsibilities of a neighbour. Today, we have taken up the vision of a comprehensive economic and maritime security partnership to give our mutual cooperation a strategic direction,” he added.

After holding talks with Muizzu, the prime minister said development partnership is an important pillar of India-Maldives ties. “We have always given preference to the priorities of the people of Maldives. This year, SBI did a rollover of 100 million dollars of the Treasury Bench of Maldives. As per the needs of Maldives, a 400 million dollars and Rs 3000 Crores currency swap agreement was also signed,” he added.

Muizzu arrived here on Sunday evening on a four-day visit. “Taking forward India-Maldives special ties! PM @narendramodi warmly received President @MMuizzu of Maldives as the latter arrived at Hyderabad House. Extensive discussions on India-Maldives bilateral relations lie ahead,” External Affairs Ministry spokesman Randhir Jaiswal said in a post on X.

Earlier, Muizzu was accorded a ceremonial welcome at the Rashtrapati Bhawan by President Droupadi Murmu. Prime Minister Modi was also present on the occasion. Muizzu was given a tri-services guard of honour before he drove down to Rajghat to offer his respects at the memorial to Mahatma Gandhi.

This is Muizzu’s firs state visit to India since assuming office in November last year. He had visited Delhi in June for the swearing-in ceremony of Prime Minister Modi’s third term in office. The ties between India and the Maldives came under severe strain since Muizzu, known for his pro-China leanings, took charge of the top office in November.

Muizzu won the presidential election last year on the ‘India out’ campaign and asked New Delhi to withdraw its military personnel posted in the archipelago nation by May this year. The bilateral ties also hit a rocky patch when Maldivian ministers were critical of Modi. However, Muizzu has since toned down his anti-India stance and even sacked ministers who were critical of the Indian prime minister.

As the Maldives was grappling with a serious economic downturn, India has decided to extend vital budgetary support to the Maldives government with the rollover of a USD 50 million Treasury Bill for another year. PTI SKU SKU DV DV

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