Maldives President Backs Free Trade Deal with China

On Monday, Maldives President Mohamed Muizzu expressed his support for a Free Trade Agreement (FTA) between the Maldives and China, citing potential economic benefits for the country. This move comes after his predecessor, pro-India President Ibrahim Mohamed Solih's administration, did not implement the FTA signed between the Maldives and China in December 2014 during the pro-China President Abdulla Yameen's administration.

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Muizzu's Endorsement of the FTA

In his first presidential speech on Monday, Muizzu highlighted the advantages of implementing the FTA with China. He stated that the agreement would provide numerous benefits to Maldivian businesses and the economy. Expressing confidence in the Parliament's support, he also expressed hope for signing and implementing free trade agreements with several other countries during his tenure.

FTA as a Symbol of Close Commercial Ties

During his state visit to China in January, Muizzu had emphasized his administration's commitment to the swift implementation of the FTA. He described the agreement as a symbol of the close commercial ties between the two countries. Muizzu specifically mentioned the potential for increased exports of fish products to China as a key priority explored within the FTA.

China's Role in Maldives' Development

China has been actively involved in assisting the development of the Maldives since establishing diplomatic relations in 1972. In 2022, bilateral trade between China and the Maldives reached USD 451.29 million, with China's exports accounting for the vast majority of the trade.

India's Commitment to Infrastructure Projects

Meanwhile, India remains committed to supporting infrastructure development in the Maldives. A high-level meeting was held to monitor the progress of the India-assisted Male to Thilafushi link project, also known as the Greater Male Connectivity Project (GMCP). India reaffirmed its dedication to working closely with the Maldives government for the speedy implementation of this USD 530 million project, which aims to establish a direct link between the capital city and Thilafushi.

President Muizzu's support for the FTA with China reflects the Maldives' efforts to diversify its economic base and strengthen its ties with various countries. While China has been a significant partner in the Maldives' development, India continues to play a crucial role in supporting infrastructure projects in the island nation.