‘No Proposal Made’: Centre Rejects Maldives Minister’s Claim On FTA

New Delhi: India clarified on Thursday that it hasn’t proposed a bilateral Free Trade Agreement (FTA) with the Maldives.

External Affairs Ministry spokesperson Randhir Jaiswal stated that while no specific proposal has been made by India, they are open to considering such an agreement if the Maldives expresses interest.

This response follows recent comments by Maldivian Minister for Economic Development and Trade Mohamed Saeed, suggesting India’s interest in an FTA. Saeed mentioned that India desires an FTA alongside the South Asian Free Trade Agreement (SAFTA).

The Maldives, under President Mohamed Muizzu, has expressed openness to trade agreements with multiple countries to facilitate smoother trade activities.

Bilateral ties between India and the Maldives faced tension since President Muizzu’s tenure began, marked by his pro-China stance. However, with recent developments, including the withdrawal of Indian military personnel and ongoing diplomatic discussions, bilateral relations show signs of improvement.

The Maldives remains a crucial maritime neighbour for India in the Indian Ocean Region, with defence and security cooperation being significant aspects of the relationship.