Journalism of Courage
Calling the Maldives a “very concrete expression” of India’s neighbourhood first policy, External Affairs Minister S Jaishankar Friday said the two countries have finalised a framework to promote the use of local currencies for cross-border trade and signed a pact on high-impact community development projects.
Jaishankar’s announcement came as he met the visiting Foreign Minister of Maldives, Abdulla Khaleel, who arrived in Delhi Thursday on a three-day visit to explore ways to bolster ties in key areas including maritime security, trade and investment.
Khaleel’s visit comes as the two countries work to stem a slide in ties since President Mohamed Muizzu came to power on an anti-India election plank last year and subsequently ordered the exit of Indian military personnel from the island country.
But recent months have witnessed a turnaround, with Muizzu himself visiting India and meeting Prime Minister Narendra Modi last October. During Muizzu’s visit, the two countries agreed to transform their ties to a “Comprehensive Economic and Maritime Security Partnership” and also signed key pacts besides agreeing to launch negotiations for a Free Trade Agreement.
During Friday’s meeting with Khaleel, Jaishankar said, “I see that the framework to promote the use of local currencies for cross-border transactions has been signed… we have increased our engagement in various sectors and I do want to say that India has always stood by the Maldives. You are a very concrete expression of our neighbourhood first policy.”
After the meeting, Khaleel, in a post on X, said the two sides are “resolute in strengthening our partnership based on mutual trust and respect, for the benefit and prosperity of our peoples”. “After the meeting we signed the HICDP MoU, launching the Third Phase of project-based cooperation aimed at directly benefiting people at the grassroots level,” he said.
The Ministry of External Affairs said the HICDP MoU would see the project implemented “through grant assistance by the Government of India”. It said the two Ministers also took stock of the “progress made on the understandings reached during Muizzu’s visit.
