India, Maldives Explore FTA and Investment Opportunities

As stated by Foreign Secretary Vikram Misri, India and the Maldives are in discussions to finalize a Free Trade Agreement and an investment treaty. This strategic move is intended to strengthen economic bonds and foster collaboration in emerging sectors such as renewable energy and fisheries. India holds a prominent position as a trading partner for the Maldives, with bilateral trade currently standing at approximately USD 500 million. Investments by Indian entities are already evident in key sectors like tourism. Beyond trade, India actively contributes as a development partner, providing financial support via concessional loans and grants, including the Greater Male Connectivity Project and social housing projects. Additionally, the nations share a close relationship in defense, security, and capacity building. The Foreign Secretary highlighted the comprehensive nature of the relationship, anticipating that Prime Minister Modi’s forthcoming visit will serve to fortify these ties further and contribute to regional peace and stability.