India to provide USD 500 million assistance for Greater Male Connectivity Project in Maldives

New Delhi, August 13: Strengthening the relations with the Maldives, the External Affairs Minister Dr. S. Jaishankar on Thursday announced that India is going to fund the implementation of the Greater Male Connectivity Project through a 400 million dollar Line of Credit and 100 million dollars, during the meeting with Foreign Minister of Maldives Abdulla Shahid via video conference.

 

 

This will be the largest civilian infrastructure project in the Maldives. This 6.7 km bridge project connects Malé (the capital of Maldives) with three neighboring islands - Villingili, Gulhifahu (where a port is being built under Indian LoC), and Thilafushi (new industrial zone). This landmark project will streamline connectivity between the 4 islands. It will help revitalise and transform the Maldivian economy.

 

 

He also announces that both the countries agree to start a regular cargo service between both the countries adding they are also starting an air travel bubble with the Maldives to sustain & promote the dynamic people-to-people ties between the two countries. The cargo ferry service will run in between Cochin-Kulhudhuffushi-Male. This will help in development to the north of the Maldives. The cargo ferry service will enhance sea connectivity and provide predictability in supplies for importers in Maldives and exporters in India. It will also reduce logistics costs and times for traders.

 

Maldives Foreign Minister Shahid welcomed the decision to create an air bubble and a direct cargo ferry service between India and Maldives. Both these steps will further strengthen bilateral trade and the close people-to-people relations between the two countries which forms the bedrock of our dynamic partnership.

 

External Minister also expressed happiness that India and Maldives worked very closely in dealing with the COVID-19 pandemic, and that the Maldives is the largest beneficiary of Indian COVID-19-related assistance among neighboring countries.

 

Moreover, the Jaishankar conveyed the greetings of the people and the Government of India to the people and the Government of Maldives and assured the Government of President Solih that India stood by its close maritime neighbor and friend in difficult times.

 

On the other hand, Foreign Minister Shahid conveyed gratitude for the timely financial assistance being extended by India. He noted that this financial support will help in the revival of the Maldivian economy which is grappling with the impact of the Covid-19 crisis.

 

This meeting was a part of regular high-level exchanges between India and the Maldives. It provided an opportunity to take stock of bilateral relations and make some landmark announcements in the context of COVID-19 and the overall bilateral partnership. The Ministers reviewed the state of time-tested relations between India and the Maldives and noted with satisfaction that the COVID-19 pandemic has not been able to slow down the pace of bilateral cooperation.