Prime Minister of India, Mr. Narendra Modi made his inaugural visit to the Maldives to participate in the swearing-in ceremony of its newly elected President, Ibrahim Mohamed Solih. This landmark visit provides a fresh start to the Indian-Maldivian relationship, which underwent several challenges in past years. The newly formed government of the Maldives has displayed significant measures to assure India of its critical role in Maldivian affairs.
A New Era of Maldivian Decisions
Among the key decisions taken by the new Maldivian government is the withdrawal from a Free Trade Agreement (FTA) with China that was signed in December 2017. Also, they have decided to follow an ‘India First Policy’. As part of this policy, two Indian military helicopters gifted to the Maldives will remain there. This strategic decision by the Maldives to tilt towards India and its democratic values could potentially counteract the economic crisis the nation may face when China calls in their debt.
The Indian Prime Minister also engaged in a brief bilateral discussion with the newly-elected President post the ceremony.
Key Takeaways from the Talks
During their conversation, both leaders emphasized the necessity to maintain peace and security in the Indian Ocean. They agreed on understanding each other’s concerns and aspirations for regional stability. They also expressed a commitment to enhanced cooperation in battling terrorism within the region and elsewhere. India reassured the Maldives of its commitment in aiding its sustainable social and economic development and working towards facilitating visa processes.
India-Maldives Relations: A Glimpse Into History and Benefits
India and the Maldives share deep-rooted historical, cultural, and economic bonds. India was among the first nations to recognize the Maldives post its independence in 1965 and establish diplomatic relations. It set up its mission at Malé in 1972.
| India-Maldives Milestones | Year |
|---|---|
| Recognition of Maldives Independence by India | 1965 |
| Establishment of Diplomatic Relations | 1972 |
| Signing of Free Trade Agreement (FTA) with China | 2017 (December) |
| Maldives Withdrawal from FTA with China | Present |
The Importance of The Maldives to India
The Maldives is a key aspect of India’s ‘Neighbourhood First’ policy. Its strategic location in the Indian Ocean and proximity to significant shipping channels make it critical to uninterrupted energy supply for countries like China, India, and Japan. More than 97% of India’s international trade volume and 75% of its value traverse through this region.
India’s position as a paramount South Asian power and a ‘net security provider’ in the Indian Ocean necessitate cooperation with the Maldives in the security and defense sectors. Furthermore, India is the favored destination for Maldivians for education, medical treatment, leisure, and business.
As a member of SAARC, having the Maldives on board is crucial for India to maintain its regional leadership. With China’s naval expansion into the Indian Ocean, the significance of the Maldives has grown exponentially, making it a focal point in international geopolitics. Given the substantial presence of the Indian diaspora across the hospitality, education, and healthcare sectors of the Maldivian economy, maintaining strong ties is more critical than ever.