On August 12, 2024, the Maldives officially handed over 28 islands to India, marking a notable diplomatic shift in the region. This transfer includes implementing water and sewerage projects across these islands, a move supported by India’s Line of Credit (LoC).
The inauguration of these projects took place at the Maldivian President’s Office, with Indian External Affairs Minister Dr. S. Jaishankar, Maldivian Foreign Minister Moosa Zameer, and President Mohamed Muizzu in attendance. This event followed Jaishankar’s recent visit to the Maldives, during which he underscored the strong bilateral ties between the two nations.
This significant development comes after a period of strained relations earlier in the year, triggered by controversy surrounding Prime Minister Narendra Modi’s visit to Lakshadweep. A derogatory remark made by a Maldivian leader against Modi had led to tensions between the neighboring countries.
President Muizzu, who had previously aligned with a pro-China stance and an “India Out” campaign, has now shifted his position. He expressed gratitude to India and Prime Minister Modi for their continued support, acknowledging India’s role as one of the Maldives’ closest allies. This shift is seen as a response to economic and diplomatic pressures faced by the Maldives, as well as a strategic move to strengthen ties with India.
In addition to the island handover, the two countries signed several Memorandums of Understanding (MoUs) aimed at enhancing bilateral cooperation. These agreements include training 1,000 Maldivian civil servants in India and introducing the Unified Payments Interface (UPI) in the Maldives. Jaishankar’s visit also saw the inauguration of six High Impact Community Development Projects (HICDPs), further cementing India’s involvement in Maldivian development.
The shift in the Maldives’ diplomatic stance has been welcomed by opposition parties within the country, who have long supported closer ties with India. This evolving relationship underscores the strategic importance of India-Maldives relations in regional geopolitics.
