India announces $500mn for Maldives' biggest infrastructure project
ndia on Thursday unveiled a $500-million package to help the Maldives build a connectivity project linking its capital Male with three islands, and provided $250 million as budgetary support to help the Indian Ocean archipelago cope with the Covid-19 crisis.
A new cargo ferry service will be launched between the two countries, and people familiar with developments said this will help India replace other countries to become the Maldives’ top trade partner.
An air travel bubble between the two sides will become operational from August 18, and India also renewed quotas for supplying essential commodities to the Maldives during 2020-21.
India announced decision to back the Greater Male Connectivity Project (GMCP) through a package comprising a grant of $100 million and a new line of credit for $400 million.