In the midst of strained diplomatic relations, India’s commitment to bolstering development projects in the Maldives has accelerated, signaling resilience in bilateral ties despite recent tensions. The push for infrastructure development comes against the backdrop of Maldivian President Mohamed Muizzu’s call for the withdrawal of Indian troops from the country, a demand that has strained relations between the two nations.
Despite the challenges, India has intensified its development assistance to the Maldives, with projects gaining momentum over the past year. According to sources familiar with the matter and government documents, India’s expenditure on Maldivian projects has surged to nearly 7.71 billion rupees ($93 million) during the current fiscal year, nearly double the initially budgeted amount of 4 billion rupees.
President Muizzu’s administration, which assumed office in October, has signaled a shift away from the country’s longstanding “India First” policy, gravitating towards closer ties with China. However, India remains steadfast in its commitment to advancing development initiatives in the Maldives.
Key projects include a substantial $500-million investment in roads and bridges around Male, the capital city, along with funding for two airports valued at nearly $130 million each in remote islands of the archipelago. These initiatives are supported through lines of credit extended by India, highlighting New Delhi’s continued engagement despite the evolving geopolitical landscape in the region.
While President Muizzu recently undertook a state visit to Beijing, his visit to India is yet to materialize, underscoring the complexities of the current diplomatic environment. Nonetheless, both countries have reached an agreement to replace Indian troops with local forces by May, a move aimed at addressing contentious issues while maintaining essential humanitarian support and medical evacuation capabilities provided by the Indian military.
India’s increased focus on the Maldives is reflected in its budgetary allocations, with substantial investments earmarked for the coming fiscal year. However, concerns persist over the Maldives’ deepening engagement with Beijing, exemplified by the recent docking of a Chinese research vessel at a Maldivian port, a move that has raised eyebrows in New Delhi amid regional security considerations.
For India, the presence of external powers, particularly China, in the Indian Ocean region remains a critical concern, highlighting the delicate balance of regional dynamics in the Indo-Pacific. Despite geopolitical tensions and shifting alliances, India’s commitment to fostering socio-economic development in the Maldives underscores its enduring strategic interests in the region.