Maldives President Mohamed Muizzu has thanked India for its assistance in easing the country's debt burden, allowing the Maldives to maintain its economic sovereignty. In a recent address, President Muizzu highlighted the ongoing negotiations for currency swap agreements with India and China to alleviate local shortages of US dollars.
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Key Points:
- Debt Relief: India has provided significant assistance in repaying the Maldives' debt, which has enabled the country to strengthen its economy.
- Currency Swap Agreements: The Maldivian government is negotiating currency swap agreements with India and China to help local businesses and alleviate the dollar shortage.
- FTA with China: The implementation of the Free Trade Agreement (FTA) with China would eliminate tariffs for 7,897 items in nine sectors, including fisheries products.
- FTA with India: The Maldives is also working towards a Free Trade Agreement with India, which would strengthen bilateral economic ties.
- Infrastructure Development: China is increasing its aid to the Maldives by collaborating on key infrastructure and renewable energy projects, vital for the country's sustainable development.
President Muizzu's Statement:
"I thank the Chinese government and the Indian government on behalf of the Maldivian people for their cooperation with this effort to strengthen the economy, to assure our economic sovereignty, for the sake of the Maldivian people."
Context:
The Maldives has been facing a debt crisis, and India has been a key partner in providing assistance. Despite past tensions in their relationship, President Muizzu has acknowledged India's significance, emphasizing improved bilateral ties. The Maldives is also seeking to diversify its economic partnerships, including with the United Kingdom, to reduce its dependence on a single country.