‘India in’: Modi’s visit, aid pledge reshape Maldives ties as China wavers

Modi’s two-day trip, which coincided with the Maldives’ 60th Independence Day celebrations, marked his first visit since President Mohamed Muizzu took office in late 2023 following an election campaign built on a combative “India Out” platform.

Aditya Gowdara Shivamurthy, an associate fellow at the Delhi-based Observer Research Foundation’s strategic studies programme, said Modi’s visit was successful for two key reasons – to show that Indian influence remained unchallenged in the Maldives, and to aid the local government amid the country’s economic struggles.

During the visit, Modi announced a US$565 million credit line and launched free-trade talks with the Maldives. India also announced a reduction in repayments of an earlier credit line from US$51 million to US$29 million annually.

“Whatever the weather may be … our friendship will always remain bright and clear. India will continue to support the development of the Maldives’ defence capabilities,” Modi said during a joint press conference, while Muizzu reflected on the successes of the shared developmental journey between the two countries.