Maldives Visit 2025: PM Modi’s First Visit After ‘India Out’ Campaign – Major Announcements & Significance

Relevance: GS II India’s neighbourhood policy, strategic partnerships.

A significant turning point in India-Maldives bilateral relations has been marked by the prime minister’s historic visit to the Maldives, particularly in the wake of strained relations brought on by the “India Out” campaign. The trip, which is his first official visit since the diplomatic rift, supports India’s “Neighbourhood First” policy, strengthens maritime security cooperation in the Indian Ocean Region (IOR), and is consistent with India’s Vision Mahasagar.

The visit’s main results were: 

• A 74,850 crore Line of Credit (LoC) to the Maldives. To lower the Maldives’ yearly loan repayment obligations on loans provided by the Indian government.
• For making UPI available in the Maldives.
• The proposed free trade agreement’s terms of reference. Six MOUs were signed in areas such as Indian pharmacopoeia, digital public infrastructure, meteorology, fisheries and aquaculture, and UPI.
• The following projects were inaugurated or turned over: Roads and Drainage System Project in Addu City; 3,300 social housing units in Hulhumale under India’s Buyers’ Credit facilities.

There are two sets of Aarogya Maitri Health Cubes (BHISHM).

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Maldives’ importance to India

Essential to its Vision MAHASAGR and ‘Neighborhood First’ philosophy.

• Situated as a geographical “toll gate” between the Strait of Malacca in the east and the Gulf of Aden and Strait of Hormuz in the west, two chokepoints in the Indian Ocean.
• Location along important commercial Sea lines of communication (SLOC) is a geoeconomic factor.

These SLOCs handle 80% of India’s energy imports and 50% of its international trade. Countering China’s ambitious ‘String of Pearls’ in the IOR, for example, and being a key player in the Colombo security conference are examples of security, counterterrorism, and piracy initiatives.

Mains: 

Question: “India’s strategic outreach to the Maldives reflects the broader goals of its ‘Neighbourhood First’ policy and Vision MAHASAGAR.” Critically analyse in light of recent developments in India-Maldives ties.

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Mains PYQs: 

Question: Discuss the political developments in the Maldives in the last two years. Should they be of any cause for concern to India? (UPSC IAS 2013)

MCQs:

Question: With reference to India-Maldives bilateral relations, consider the following areas in which Memorandums of Understanding (MoUs) were recently signed:

1. Meteorology
2. Indian Pharmacopoeia
3. Defense Procurement
4. Digital Public Infrastructure
5. Fisheries and Aquaculture

How many of the above were among the MoUs signed during the Prime Minister’s 2025 visit to the Maldives?

1. a) Only two
2. b) Only three
3. c) Four
4. d) All five except 3

Answer: d) All five except 3 

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