PM Modi's Maldives Visit Balances Optics & Outcomes Amid Attempt To Reset Ties

New Delhi: Prime Minister Narendra Modi received a warm welcome at Velana International Airport in Male on Friday, marking the second leg of his foreign tour following a high-level meeting with British Prime Minister Keir Starmer in the UK to finalise the contours of a Free Trade Agreement.

About PM Modi's Visit To Maldives

Accompanied by External Affairs Minister S. Jaishankar, Modi was received at the airport by Maldivian President Mohamed Muizzu in a symbolic gesture of goodwill. The visit, which lasts till Saturday, comes at the personal invitation of President Muizzu, who is hosting his first official state guest since assuming office in November 2023.

“Deeply touched by the gesture of President Muizzu to come to the airport to welcome me. I am confident that India–Maldives friendship will scale new heights of progress in the times to come,” Modi tweeted upon arrival.

Following a ceremonial reception, the two leaders held one-on-one and delegation-level talks. Key announcements followed the discussions, including the extension of a ₹4,850 crore Line of Credit by India, the initiation of talks towards a Free Trade Agreement, and a push for UPI adoption across the Maldives to bolster tourism and retail. “To speed up our shared investment, we will soon finalise the Bilateral Investment Treaty. Talks on the Free Trade Agreement have also begun,” Modi said at a joint press briefing.

“With a local currency settlement system, we will be able to trade directly in Rupee and Rufiyaa. UPI is gaining momentum, and this will strengthen tourism and commerce.”

Beyond economics, Modi reaffirmed India’s enduring strategic interest in the Maldives. He noted that the island nation remained a key partner in India’s ‘Neighbourhood First’ and the recently launched MAHASAGAR initiative, which extends India’s maritime cooperation to littoral nations of the Global South.

“India takes pride in being Maldives’ most reliable friend. We have always been the first responder. For us, it is always Friendship First,” the PM declared.

President Muizzu echoed the sentiment, announcing the release of commemorative stamps to mark 60 years of diplomatic ties. He thanked India for its consistent support, particularly in supplying essential commodities. “India’s continued assistance to the Maldives through the export of essential commodities is a key facet of our bilateral cooperation under the longstanding trade agreement,” Muizzu said.

Observers see the visit as an attempt to “reset” ties after recent turbulence. Muizzu had risen to power on an “India Out” campaign demanding Indian troop withdrawal. Tensions escalated in January 2024 after Maldivian ministers posted derogatory remarks about Modi, following his promotional visit to Lakshadweep, perceived as a challenge to Maldives' tourism industry. The backlash led to a #BoycottMaldives campaign in India, severely impacting Maldivian tourism. With Friday’s warm optics and economic outreach, both leaders appear keen to put that discord behind them.