” LINE OF CREDIT”
The cash-strapped island last month asserted that it had no plans to find an International Monetary Fund bailout despite being informed of a potential sovereign default and that China and India are the two largest bilateral creditors to the Maldives.
According to official data, the Maldives ‘ foreign debt was estimated to be equal to about 44 % of GDP in the first quarter of this year, or US$ 3.37 billion.
Muizzu said that a “line of record design” from India was a “positive step”.
Following his win in a second consecutive election, Muizzu traveled to New Delhi in June for Modi’s inauguration, and Subrahmanyam Jaishankar, India’s foreign minister, traveled to Male in August.
The Island has also developed into a political hub thanks to its immaculate white sand beaches and secluded resorts.
India is concerned about China’s growing reputation in the Indian Ocean.
Worldwide, east-west shipping roads pass the world’s ring of 1, 192 small coastal islands, stretching around 800km across the sun.
India’s federal has conventionally regarded the Island, as well as neighbouring Sri Lanka, to be within its sphere of influence.
Since he came to power, Muizzu has toned down his anti-Indian rhetoric and said he wo n’t upset the regional balance by replacing Indian forces with Chinese troops.
According to Muizzu,” This traditional marriage is intertwined like the foundations of a tree, built on decades of exchanges and shared values,” he said of ties between Man and New Delhi.