Maldives-India sign MoU, launching third phase of HICDP

The governments of Maldives and India, on Friday, signed the High Impact Community Development Projects (HICDP) MoU, launching the Third Phase of project-based cooperation aimed at directly benefiting people at the grassroots level.

The MoU was signed following a meeting between Maldivian Foreign Minister Dr. Abdulla Khaleel and Indian External Affairs Minister Dr. S. Jaishankar in New Delhi for bilateral talks.

According to Maldivian Foreign Ministry, both sides engaged in discussions on all aspects of the partnership including priority areas outlined by leaders of both nations during Maldivian President Dr. Mohamed Muizzu’s state visit to India in October 2024.

Both ministers expressed commitment to continue working closely together, bilaterally and in international fora, on priority areas of mutual interest.

They also acknowledged the economic partnership and the progress of ongoing projects in the Maldives facilitated through Indian grant assistance and line of credit initiatives. 

Minister Khaleel also expressed gratitude on behalf of the Maldivian government for India's support in alleviating the current fiscal challenges. He also recognized the strong collaboration between the two countries in enhancing economic, trade, and investment relations, as well as India's dedicated role in the Maldives' socioeconomic development.

Both ministers emphasized the importance of exploring additional avenues to enhance the Maldives-India partnership. 

The overarching MoU regarding the HICDPs was initially signed between the two governments on March 17, 2019, for MVR 85 million – which was later renewed twice with an increment up to MVR 155 million on July 23, 2021. An MoU was signed in January 2023 for additional grant assistance of MVR 100 million for the HICDPs scheme.

Minister Khaleel’s ongoing visit to India marks their first official trip to India since he became Foreign Minister on September 30th, after previously holding the position of Health Minister.

Relations between Male’ and New Delhi had been strained in the early days of President Dr. Mohamed Muizzu’s presidency after he demanded that India withdraw its troops from Maldives – executing a pledge he made during his presidential campaign. Things escalated further after three Maldivian deputy ministers made disparaging remarks regarding India and Indian Prime Minister Modi following a social media post promoting India’s Lakshadweep as an alternative tourist destination to the Maldives.

The Maldives Foreign Ministry was quick to distance itself from the remarks, saying that they do not represent the views of the Male’ government. The three junior ministers were suspended, and two of them – Mariyam Shiuna and Malsha Shareef – later resigned.

But despite the earlier turmoil, officials from both Male’ and Delhi repeatedly expressed keenness to maintain relations and engaged in several high-level visits between the two countries. Subsequently, relations between the neighboring nations have stabilized.