New Delhi, Jan 1 (IANS) — The bilateral trade between India and the Maldives has expanded more than threefold over the last eight years, reflecting deeper economic interdependence and strengthened ties between the two nations.
In the financial year 2024-25, India’s exports to the Maldives doubled to about $680 million, while imports from the Maldives surged nearly 20-fold to about $119 million, compared to earlier years.
The rise in trade comes alongside a growing flow of Indian tourists to the island nation, which has further reinforced economic links.
Relations between India and the Maldives have recently strengthened following Prime Minister Narendra Modi’s visit, during which eight key bilateral agreements were signed. These include debt relief measures, a $565 million line of credit for infrastructure, UPI–RuPay digital payment integration, cooperation in fisheries, housing, security, and climate initiatives, and progress on talks for a Free Trade Agreement (FTA) and a Bilateral Investment Treaty.
India’s major exports to the Maldives include petroleum products, pharmaceuticals, rice, fruits and vegetables, machinery, electrical equipment and transport vehicles, meeting essential demand in the island nation
Although smaller in volume, imports from the Maldives, mainly fish and other marine products, hold strategic value for India
Tourism remains a key connector, with India consistently among the top sources of tourists to the Maldives, providing stability to the tourism-led economy.
Experts say the India-Maldives relationship has evolved from basic neighbourly ties into a multi-dimensional partnership based on trust, development cooperation and shared vision. The proposed FTA and investment treaty are expected to further deepen economic engagement and private investment flows
