Maldives Foreign Minister Moosa Zameer has acknowledged that India-Maldives relations went through a difficult phase in the early days of President Mohamed Muizzu’s government but asserted that the two countries have resolved “misunderstandings”. Zameer made these remarks during his visit to Sri Lanka on Friday. He stressed the importance of maintaining good relations with other key partners including China and India.
Jamir said that relations with India had faced challenges, especially after President Muizzu’s campaign to withdraw a small contingent of Indian troops from the Maldives. He said that after the withdrawal of Indian troops from the Maldives, “misunderstandings” between the two countries have been resolved.
‘The Edition’ newspaper quoted Jamir as saying, “As you know, in the early days of our government there was some tension (with India). We have good relations with India and China and both countries have continued to support Maldives.”
Muizzu is known for his pro-China leanings. After he assumed the presidency, India-Maldives relations started to sour. Within hours of taking oath, Muizzu demanded the withdrawal of Indian soldiers deployed on three military platforms gifted to Maldives by India. After talks between the two sides, Indian soldiers were replaced by technical personnel.
The tension in the relations between the two countries increased further after three deputy ministers of Maldives made objectionable comments against Prime Minister Narendra Modi on social media. The Foreign Ministry of Maldives distanced itself from these comments. Later, these three ministers were also suspended.
Unlike his predecessors, Muizzu did not visit New Delhi after assuming office. He first went to Turkey and then chose China for his first state visit in January. He attended Prime Minister Modi’s swearing-in ceremony in New Delhi on June 9. Muizzu’s spokesperson said on Tuesday that the President will visit India on an official visit “very soon”.
Zameer described the current economic challenges facing Maldives as ‘temporary’. He said that Maldives has no plans to seek a bailout package from the International Monetary Fund (IMF).
Indicating that the Maldives government is confident of handling the financial situation without seeking external assistance from the IMF, Zameer said, “We have bilateral partners who are very sensitive to our needs and our situation.” He also noted the strength of bilateral ties with China and India and said these countries have been important in supporting the Maldives.
Zameer’s remarks came in the wake of warnings from credit rating agencies about the financial situation of Maldives. Maldives currently has a debt of US$ 409 million. The country’s current foreign exchange reserves are US$ 444 million. Maldives Finance Minister Mohammed Shafiq also accompanied Zameer on his visit to Sri Lanka. During this, the two leaders held several meetings with officials of Sri Lanka’s Central Bank and others to discuss financial issues.
China helped
There are reports that China has helped Maldives to come out of the brink of financial crisis. China’s Foreign Ministry spokesperson had said, ‘China will always provide support and cooperation in the economic and social development of Maldives to the best of its ability.’ Maldives has signed a Memorandum of Understanding with the People’s Bank of China for current account transactions and direct investment in their respective currencies.
The Maldives also said it may soon have a branch of China’s largest bank, ICBC. China is the Maldives’ biggest trading partner with bilateral trade of over US$700 million.
