India approves Maldives' request to roll over INR 30 billion currency swap

India has approved a request from the Maldives government to extend the repayment period of an INR 30 billion (USD 319 million) currency swap facility provided under the SAARC Currency Swap Framework.

The Indian High Commission in the Maldives announced the decision in a statement on Friday, saying the extension was granted as part of India's continued financial support to the Maldives and its people.

The facility was provided under the SAARC Currency Swap Framework for 2024–2027, following an agreement signed between the Reserve Bank of India (RBI) and the Maldives Monetary Authority (MMA) during President Dr Mohamed Muizzu's official visit to India in October 2024.

The INR 30 billion facility was disbursed to the Maldives on 23 April 2026.

The disbursement followed the repayment of a separate USD 400 million currency swap facility previously provided by India. The repayment deadline for that facility had been extended twice before the Maldives settled the amount on 23 April.

According to the Indian High Commission, the decision to approve the rollover of the INR 30 billion facility reflects India's policy of providing continued assistance and support to the Maldives government and its people.

The High Commission said the facility would continue to benefit from concessional interest rates and terms under the SAARC Currency Swap Framework for 2024–2027.

The statement also highlighted India's financial assistance to the Maldives through currency swap arrangements over the past decade.

Since 2012, the RBI has provided more than USD 1.1 billion in currency swap support to the Maldives, according to the High Commission.

India has also subscribed to two long-term Maldivian Treasury bonds valued at USD 250 million and USD 100 million, respectively.

The High Commission further noted that the Maldives had repaid three Treasury bills held by India, with a combined principal value of USD 150 million.

According to the statement, the Indian government had paid USD 42.8 million in interest associated with the three Treasury bills.

The latest rollover provides the Maldives with additional time to settle its obligations under the INR 30 billion currency swap arrangement, while maintaining access to the concessional terms offered through the SAARC framework.

The decision follows the Maldives' settlement of the USD 400 million currency swap facility in April and the repayment of the USD 150 million Treasury bill obligations held by India.