Maldives, India to begin free trade pact talks
Maldivian foreign minister noted that the FTA would facilitate trade liberalisation and reduce business risks in both countries.
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The Maldives and India have agreed to begin negotiations on a Free Trade Agreement (FTA), as announced on Friday during a joint press conference by Maldivian Foreign Minister Moosa Zameer and Indian External Affairs Minister Dr S Jaishankar, who is currently visiting the Maldives.
This move aims to enhance economic cooperation and promote trade and investment between the two nations.
"We are committed to establishing effective mechanisms to enhance economic cooperation, fostering a vibrant and prosperous partnership that will benefit both nations," said Zameer.
He noted that the FTA would facilitate trade liberalisation and reduce business risks in both countries. The proposal for the agreement was put forward by President Mohamed Muizzu, marking a significant step in strengthening economic ties between the Maldives and India.
The announcement came after a series of discussions that covered a broad range of issues, including economic and trade cooperation, education, skills development, health, tourism, youth engagement, sports, defence, and security.
During the visit, Jaishankar, accompanied by the Minister of Construction and Infrastructure Dr Abdulla Muththalib and Zameer, will inspect the progress of the Greater Male Connectivity Project, a key infrastructure initiative funded by India. Additionally, they will oversee the completion of 28 water and sewerage projects across 28 islands, financed through the EXIM Bank of India.
"We welcome the progress made so far, especially over the past eight months," Zameer said.
Zameer expressed gratitude for India’s contributions to the socio-economic development of the Maldives, including fiscal support, healthcare, and infrastructure projects.
"The people and the government of Maldives are profoundly grateful to the people and the Government of India for the immense contributions made to the socio-economic development of Maldives," he said.
The ongoing partnership between the two countries extends beyond development assistance to include security cooperation.
"While the Maldives and India share deep and longstanding cooperation in the security and defence sectors, we have mutually agreed to further strengthen our partnership," Zameer highlighted.
In the final leg of his visit, Jaishankar will travel to Addu to inaugurate key infrastructure projects, including a shore protection project and a 4-Lane Detour Link Road connecting Maradhoo to Hithadhoo. These projects, funded by the EXIM Bank of India, are part of a broader effort to improve road and drainage systems in Addu.
The ministers also acknowledged the significant contributions of Indian professionals and the expatriate community in the Maldives, and the crucial role India plays as a source market for Maldivian tourism. Minister Zameer concluded by reaffirming the Maldives' commitment to working closely with India to further strengthen bilateral, regional, and multilateral ties.
"Let me conclude by reiterating the commitment of the government of Maldives to continue working closely with the Government of India, bilaterally, regionally, and multilaterally, to further strengthen and enhance the ties between our two countries," he stated.
