India, Maldives Explore New Avenues for Trade and Economic Cooperation Amid Thawing Ties

Last Updated Jul - 05 - 2025, 06:37 PM | Source : Fela News

India and Maldives discuss enhancing trade and investment during Commerce Secretary Sunil Barthwal’s visit to Malé. Talks mark a positive shift in ties under Pr

India, Maldives Explore New Avenues for Trade and Economic

India and the Maldives held discussions on enhancing economic cooperation and boosting trade ties, state-run media reported on Saturday (July 5, 2025). The talks took place during a meeting between India’s Commerce Secretary Sunil Barthwal and Maldivian Minister of Economic Development and Trade Mohamed Saeed in Malé on Friday.

According to Public Service Media (PSM News), the meeting—held at the Maldivian Economic Ministry—focused on identifying new avenues for economic collaboration while strengthening existing trade relationships. Following the meeting, Minister Saeed shared on X (formerly Twitter): “Had a productive meeting today with India’s Commerce Secretary Sunil Barthwal. We discussed strengthening trade and investment partnerships and explored new opportunities for cooperation.”

India’s Department of Commerce echoed similar sentiments, stating that the meeting was “constructive” and centered on expanding trade and investment cooperation between the two nations. PSM News also noted that recent efforts to attract Indian investments included organising business forums in three Indian cities to highlight investment opportunities in the Maldives.

India remains a vital development partner for the Maldives, playing a key role in infrastructure and capacity-building projects. Additionally, New Delhi has extended a $25.94 million currency swap facility to support the Maldivian economy.

This latest engagement follows earlier talks in May, when Maldivian Foreign Minister Abdulla Khaleel and a high-level delegation visited New Delhi for a three-day dialogue. That meeting focused on reinforcing economic and maritime security ties under the framework of a comprehensive partnership—an agreement that stemmed from Maldivian President Mohamed Muizzu’s visit to India in October 2024.

Bilateral relations had faced tensions after President Muizzu, widely seen as pro-China, assumed office in November 2023. Shortly after taking the oath, he called for the removal of Indian military personnel stationed in the Maldives. This request was met, with the personnel eventually replaced by civilians following mutual agreement.

However, ties began to improve during Muizzu’s Delhi visit, where he expressed his commitment to strengthening relations with India. The Maldives remains a key maritime neighbour for India and an essential part of its Neighbourhood First policy and Vision MAHASAGAR—Mutual and Holistic Advancement for Security and Growth Across Regions.