PM of India visits Maldives marking 60th anniversary of India-Maldives diplomatic relations | Current Affairs | Vision IAS
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It shows map of India and Maldives.

PM's visit is significant, as it is his first since bilateral ties were strained by the “India Out” campaign.

Key Outcomes of visit:

  • Signing of Agreements on:
    • A Line of Credit (LoC) of ₹4,850 crores to Maldives.
    • To reduce Maldives' annual debt repayment on Indian government-funded loans.
    • For enabling UPI in Maldives.
    • Terms of Reference of proposed Free Trade Agreement.
  • 6 MOUs were exchanged in fields of fisheries and aquaculture, meteorology, digital public infrastructure, UPI, Indian pharmacopoeia etc..
  • Inauguration / Handing-over of:
    • 3,300 social housing units in Hulhumale under India's Buyers' Credit facilities, Roads and Drainage system project in Addu city.
    • Two Aarogya Maitri Health Cube (BHISHM) sets.

Significance of Maldives for India

  • Geopolitical:   Key to its ‘Neighborhood First’ policy and Vision MAHASAGR.
  • Strategic: Geographically positioned like a 'toll gate' between western Indian Ocean chokepoints (Gulf of Aden and Strait of Hormuz), and eastern Indian Ocean chokepoint of Strait of Malacca.
  • Geo-economics: Located along major commercial Sea lines of communication (SLOC).
    • 50% of India's external trade and 80% of India's energy imports transit through these SLOCs. 
  • Security, Counter terrorism, piracy etc.: E.g.  Countering China's ambitious 'String of Pearls' in IOR, Key participant in Colombo security conclave.
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