Mon Oct 07 16:52:17 UTC 2024: ## India and Maldives Strengthen Ties with Economic Aid and Security Cooperation

**New Delhi:** India and the Maldives have agreed to transform their bilateral relationship into a “Comprehensive Economic and Maritime Security Partnership,” marking a significant shift in ties following a period of strain.

The agreement, announced Monday after a meeting between Prime Minister Narendra Modi and Maldivian President Mohamed Muizzu in New Delhi, includes substantial economic assistance from India to help the Maldives address its ongoing financial challenges. India has pledged INR 30 billion and USD 400 million in a bilateral currency swap agreement, as well as a rollover of treasury bills.

Beyond economic support, the two nations have agreed to strengthen their defense and security cooperation. India will refit and repair a Maldivian Coast Guard vessel gifted earlier and will continue to provide technical personnel for Maldivian helicopters and aircraft. The joint statement highlighted shared challenges in the Indian Ocean Region, emphasizing the need for cooperation against piracy, illegal fishing, drug smuggling, and terrorism.

Other key agreements include launching negotiations for a Free Trade Agreement, the introduction of the Rupay card in the Maldives, and the handover of 700 social housing units by India.

India has also committed to aiding the Maldives in building its maritime surveillance capabilities, providing training and equipment for the Maldivian National Defence Force (MNDF). The two countries also agreed to collaborate on disaster response and information sharing.

President Muizzu expressed gratitude for India’s support, recognizing its crucial role in the Maldives’ economic stability. He also underscored the importance of the new security partnership, noting the Maldives’ strategic position in the Indian Ocean.

The move comes after a period of strained relations following Muizzu’s election on an anti-India platform last year. While India withdrew its military personnel from the Maldives earlier this year, the two nations have now clearly committed to rebuilding a strong and comprehensive partnership.

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