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India-Maldives Ties Reboot as PM Modi and President Muizzu Open New Chapter with FTA Talks

On July 25, 2025, Prime Minister Narendra Modi visited the Maldives as the first foreign head of government to visit President Mohamed Muizzu as President. Prime Minister Modi was hosted by the Maldives as the Guest of Honor for the Maldives' 60th Independence Day annual celebratory events planned for July 26, 2025.

Following a warm welcome that featured a 21-gun salute at Republic Square and both countries' colours waving from flagpoles, the Prime Minister was greeted warmly by the Tamil diaspora. This occurred as he was taken along the route through the procession. That Modi is making this important visit suggests a responsive and intentional attempt to repair the rift caused by Muizzu's earlier India Out campaign during the 2023 presidential election.

India-Maldives Ties: From Tensions to Renewed Engagement 

The relation between the two countries was souring soon after Muizzu took office with a pledge to end the Maldives-India first policy, and upgrade ties with China. New Delhi, however, regained its influence as it helped to prevent the $7.5  billion Maldives economy from defaulting on its debt, a Reuters report studied. Muizzu visited India last October and has visited China too - the two countries are Male's largest lenders for financial support.

Vikram Misri, the Indian Foreign Secretary, said that “steady diplomacy” had been able to repair India-Maldives relations before Modi departed on his trip, as “There will always be things that will influence or try to intrude on the relationship.

PM Modi welcomed by Thailand President  Mizzu ( source: The Hindu) 

Will India and the Maldives reach a Free Trade Agreement?

This denotes the great scrutiny that the relationship received at every level, particularly at the upper levels. The Maldives and India plan on a Free Trade Agreement between the two neighbours in South Asia. Mohamed Muizzu indicates that the negotiations to begin the FTA have already begun.

"I am also glad to publicly announce the initiation of negotiations for a free trade agreement between India and the Maldives. This historic FTA would be a major advance for our economic partnership," Muizzu said at a joint press conference with PM Modi in Male on Friday.

Shahid: Modi Visit Signals Narrative Shift: India Confirms Partner Role

Former Maldives foreign minister Abdulla Shahid said to Reuters that Modi's visit demonstrated Muizzu had chosen to step down and change the narrative. 

When he spoke to journalists earlier in the week, the Indian foreign secretary said the Maldives is a very important partner in its Neighborhood First policy, the MAHASAGAR (Mutual and Holistic Advancement for Security and Growth Across Regions) vision.

A Diplomatic Reset Paves the Way for a Stronger India-Maldives Future

PM Modi's visit to the Maldives was not only an intentional diplomatic reset through symbolic acts and concrete commitments. It was also a deliberate transformation from strained rhetoric to new economic and maritime paths, symbolizing the re-energized India-Maldives partnership with a shared desire to build prosperity, security, and trust across the Indian Ocean region.