After having some crucial conversations with the President of Maldives, Ibrahim Mohammed Solih, PM Modi announced a $ 1.4 billion financial assistance to the Maldives to overcome the financial crisis that the island nation is currently facing.
During almost the end tenure of the former president of Maldives, Mohmed Nasheed, it was believed that the new government will now cut all the lopsided with China, that was signed by Yameen. After this announcement last month, newly elected president, Ibrahim Mohammed Solih made his first overseas trip as the president, for a three day state visit on November 17. Following up the talks, after Modi held cessation of all the important talks with Solih, the PM announced a $1.4 billion financial aid for the socio-economic development of Maldives on Monday, December 19th.
Announcing the financial aid, Modi said, “We held successful talks in a cordial atmosphere. We vowed to strengthen ties. We want greater trade ties with the Maldives. There are increasing opportunities for Indian companies in the island nation.” Apart from this, security in the Indian ocean area has been a major concern for both the nations following China’s assertive activities in and near region. Eyeing these agendas, both countries also agreed on working together for security through coordinated patrol and aerial surveillance and agreed to “not allow our countries to be used for activities which can be harmful to each other’s interests”.
The renewed coordination between India and Maldives is seen as a revival of diplomacy following the worsened due to the former president Yameen’s decision of announcing emergency in February this year. For now, the equation between two nations seems to have softened, and it is in their good to maintain unity and peace. And the $1.4 billion financial aid will not only help the politically and economically damaged island nation, but will also strengthen the relations between the two nations.