On July 25, 2025, the Government of India(GoI) signed six Memorandum of Understanding (MoUs) with the Government of Maldives in strategic sectors: fisheries & aquaculture, meteorology, digital public infrastructure, Unified Payments Interface (UPI), and recognition of the Indian Pharmacopoeia alongside a Line of Credit (LoC) worth Rs.4,850 crore to support infrastructure development in the Maldives.
- The agreements were signed during Prime Minister (PM) Narendra Modi’s two-day official visit to Maldives from July 25 to 26, 2025.
Signatories: The MoUs were signed by Union Minister Dr. S. Jaishankar, Ministry of External Affairs (MEA), GoI, and Moosa Zameer, Minister of Finance and Planning, Government of Maldives.
Key MoUs Signed for Multisector Cooperation:
Fisheries and Aquaculture: The Department of Fisheries(DoF) under the Ministry of Fisheries, Animal Husbandry and Dairying (MoFAHD), GoI, and the Ministry of Fisheries and Ocean Resources (MoFOR), Maldives, signed a MoU to
promote sustainable Tuna and deep-sea fisheries, strengthen aquaculture and sustainable resource management.
- Under the MoU, the collaboration facilitates training and knowledge sharing programs in the field of value chain development, mariculture advancement, trade facilitation, and capacity building.
- As part of the initiative, Maldives will increase its fish processing capabilities by investing in cold storage infrastructure and strengthening the aquaculture sector through hatchery development, improved production efficiency, and diversification of cultures species.
India-Maldives FTA: India and Maldives jointly launched the negotiations for a Free Trade Agreement (FTA), to boost trade, private sector investment, and strengthen economic integration.
- They also announced plans for a Bilateral Investment Protection and Promotion Agreement (BIPPA).
Meteorology Cooperation: The Indian Institute of Tropical Meteorology (IITM), Ministry of Earth Sciences (MoES), GoI, and the Maldives Meteorological Services (MMS), Ministry of Tourism and Environment, Maldives, signed an MoU for cooperation in the field of Meteorology.
- It includes weather modeling, training, and cyclone early warning systems.
Digital Solutions: MoU was signed between the Ministry of Electronics and Information Technology (MeitY), GoI, and the Ministry of Homeland Security and Technology of Maldives, for cooperation in the field of sharing successful digital solutions, implemented at population scale for digital transformation.
- The MoU was signed with an aim to enhance public service delivery, capacity building, and governance in Maldives.
Healthcare: An MoU was signed on recognition of Indian Pharmacopoeia (IP) by Maldives. This will enable streamlined drug approval, cost-effective medicines, and will increase the export of Indian Pharmaceutical products.
UPI Integration: National Payments Corporation of India (NPCI) International Payments Limited (NIPL) and Maldives Money Authority (MMA) signed a Network-to-Network Agreement to launch UPI in Maldives.
Financial Support:
Credit in Indian Rupees: India extended a new Rs.4,850 crore LoC to the Maldives, the first to be offered in Indian rupees.
- GoI has amended the existing dollar-denominated LoCs to reduce the annual repayment burden of Maldives.
Support: This funding will support key infrastructure and development projects.
Debt Relief Agreement: Additionally, a debt relief deal was signed, reducing Maldives’ annual repayment burden by 40% from USD 51 million to USD 29 million on previous Indian credit lines.
About Maldives:
President – Mohamed Muizzu
Capital – Male
Currency – Maldivian Rufiyaa (MVR)
