Maldives President Mohamed Muizzu Thanks PM Modi for Financial Support
On Monday, Maldives President Mohamed Muizzu expressed gratitude to Prime Minister Narendra Modi for India’s decision to provide financial support. This includes Rs 30 billion (USD 360 million) and a USD 400 million bilateral currency swap agreement. Muizzu highlighted the importance of this support in addressing Maldives’ foreign exchange issues.
India-Maldives Bilateral Talks
PM Modi and President Muizzu held talks at Hyderabad House in New Delhi. Following these discussions, India granted Maldives a USD 100 million Treasury bills rollover. Additionally, both countries signed a USD 400 million and Rs 3,000 crore currency swap agreement. PM Modi emphasized the significance of the development partnership between India and Maldives, stating that India prioritizes the needs of the Maldivian people.
Financial and Technological Collaborations
In September, India announced that the State Bank of India would subscribe to Maldivian government bonds worth USD 50 million. Earlier in May 2024, SBI had subscribed to USD 50 million T-bills at the request of the Maldivian government. Furthermore, PM Modi and President Muizzu witnessed the first RuPay card transaction in the Maldives and inaugurated the runway of Hanimaadhoo International Airport. PM Modi mentioned future UPI connectivity between India and Maldives.
Strengthening Ties
PM Modi reiterated that Maldives holds a crucial position in India’s neighborhood policy and SAGAR vision. He welcomed President Muizzu and his delegation, emphasizing the long-standing friendship between the two nations. President Muizzu, on his five-day visit to India, was received with a ceremonial reception at Rashtrapati Bhavan by President Droupadi Murmu and PM Modi. He also met with External Affairs Minister S Jaishankar.
Doubts Revealed
Maldives -: The Maldives is a small island country located in the Indian Ocean, known for its beautiful beaches and clear blue waters.
President Mohamed Muizzu -: Mohamed Muizzu is the President of the Maldives, which means he is the leader of the country and makes important decisions for its people.
PM Modi -: PM Modi refers to Narendra Modi, who is the Prime Minister of India, the leader of the Indian government.
Financial Support -: Financial support means providing money to help someone or a country. In this case, India is giving money to help the Maldives with its financial problems.
Rs 30 billion -: Rs 30 billion is a large amount of money in Indian Rupees, which is the currency used in India.
USD 400 million currency swap -: A currency swap is an agreement where two countries exchange money in their own currencies. Here, it means India and Maldives agreed to exchange money worth 400 million US dollars.
Foreign exchange issues -: Foreign exchange issues refer to problems a country faces when it doesn’t have enough foreign money to trade with other countries.
Bilateral talks -: Bilateral talks are discussions between two countries to solve problems or make agreements.
Treasury bills rollover -: A Treasury bills rollover means extending the time for paying back borrowed money. India is allowing the Maldives more time to pay back a loan.
UPI connectivity -: UPI stands for Unified Payments Interface, a system in India that allows people to transfer money easily using their phones. UPI connectivity means making this system available between India and the Maldives.
Five-day visit -: A five-day visit means President Muizzu is staying in India for five days to meet leaders and discuss important matters.
