Amid tense ties, India gives Maldives an extension on $200 million loan

Maldivian Foreign Minister Moosa Zameer has announced significant progress on expedited Indian-assisted projects in the Maldives. Zameer shared this update during his first official bilateral visit to India from May 8 to 10, underlining the Maldivian government's commitment to prioritising the speedy completion of these initiatives.

Whilst in India, Zameer had bilateral discussions with Indian Foreign Minister, S Jaishankar, regarding operational aspects of the committees responsible for the execution of these projects, and the steps required to accelerate their progress. Zameer made the remarks during a press conference hosted in the Presidential Office.

Zameer noted that India has provided a repayment extension for the Maldives' USD 150 million debt out of a total of USD 200 million borrowed by the previous government. The Maldives repaid USD 50 million in January this year, with the Indian authorities not making any further demands during the extension of the remaining debt.

Zameer emphasised the importance of the India-assisted projects in the Maldives and reiterated the Maldivian government's commitment to seeing them completed. He also assured his determination to uphold this priority during his recent visit to India. The bilateral dialogues reaffirmed the significance of India's continuous projects in the Maldives.

However, Zameer's visit to India also arrived amidst a period of strained bilateral relations following the ascendancy, six months earlier, of the pro-China president, Mohamed Muizzu.

Muizzu's insistence on the removal of Indian military personnel from the Maldives caused significant tension in their relations. Zameer clarified that 76 Indian military personnel had been replaced by civilian employees from India's Hindustan Aeronautics Limited, ending speculations over the exact number. He reassured that the Maldivian government did not have any plans to remove the Indian doctors based in Senahiya.