High-level discussions between the governments of the Maldives and India are now delivering practical results, Minister of Economic Development, Transport and Trade Mohamed Saeed has said.
The Minister made the remarks while addressing a meeting organised by the Federation of Indian Chambers of Commerce and Industry (FICCI), where government officials and business leaders exchanged views on strengthening bilateral trade and investment.
Speaking at the forum, Minister Saeed described the Maldives' relationship with India as vital, saying it is built on longstanding historical ties, close people-to-people relations and strong commercial links spanning generations.
He said the meeting came at a time when the Maldives is seeking to diversify its economy, expand partnerships and strengthen existing economic relations.
Referring to the recent official visits by President Dr Mohamed Muizzu to India and Indian Prime Minister Narendra Modi to the Maldives, Saeed said engagements between the two leaders reflected the close relationship between the two countries and demonstrated that high-level discussions were translating into tangible outcomes.
The Minister said similar momentum had been evident during business forums held in Delhi, Bengaluru and Mumbai, which brought together industry leaders from both countries and created new opportunities for partnership.
He noted that negotiations on a Bilateral Investment Treaty have been concluded, while formal negotiations on a Free Trade Agreement (FTA) have now commenced.
Furthermore, the economic minister said these developments demonstrate the commitment of both countries to elevating economic cooperation.
He said an FTA would create new commercial opportunities for businesses in both countries by expanding market access for goods and services and providing a stronger foundation for future investment.
The Minister also said efforts are underway to introduce India's Unified Payments Interface (UPI) and RuPay payment systems in the Maldives. He added that discussions are continuing on conducting bilateral trade using the local currencies of both countries.
As per the minister, these initiatives would reduce the cost of cross-border financial transactions, minimise transaction-related challenges and strengthen the financial infrastructure supporting the growing economic partnership.
Speaking on the Maldives' investment climate, the Minister said the Government is reforming policies and regulations to improve transparency and make it easier for foreign investors to enter the market.
He said, while tourism remains a key sector, the Government is also seeking to attract investment into technology and other emerging industries.
"Our foreign investment policy is particularly focused on new and value-added activities. This aims to diversify the tourism and hospitality sector beyond traditionally accepted investment areas, and to enhance capabilities in technology-based sectors," Saeed said.
Concluding his address, the Minister thanked the Government of India for its continued cooperation in ensuring the supply of essential commodities to the Maldives. He also reaffirmed the Government's commitment to giving greater priority to private sector participation in advancing the country's economic agenda.