India and Maldives Fortify Relations with Currency Swap and Infrastructure Boost

India and the Maldives bolstered ties by signing a USD 400 million currency swap agreement. Key developments include launching the Rupay card, inaugurating a new airport runway, and fast-tracking infrastructure projects. These efforts aim to strengthen economic cooperation and mitigate exchange reserve challenges in the Maldives.

In a strategic move to bolster bilateral relations, India and the Maldives have signed a currency swap agreement worth USD 400 million. This financial aid is expected to help the Maldives address its foreign exchange reserve challenges.

Prime Minister Narendra Modi and Maldivian President Mohamed Muizzu inaugurated the Rupay card system and a new runway at Hanimadhoo International Airport. The two leaders also pledged to expedite key development projects, including a commercial port in Thilafushi.

Underlining the importance of economic cooperation, the leaders decided to initiate talks on a Free Trade Agreement. This visit marks a turning point in India-Maldives relations, particularly after tensions arose last year.

(With inputs from agencies.)