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| Photo Credit: The Hindu

Maldives President Mohamed Muizzu has taken “necessary steps” to introduce India’s Unified Payments Interface (UPI) in the archipelago nation, slated to benefit the Maldivian economy substantially.

Developed by the National Payments Corporation of India (NPCI), UPI is an instant real-time payment system for facilitating inter-bank transactions through mobile phones.

Mr. Muizzu on Sunday set up a consortium to introduce UPI in the country and appointed TradeNet Maldives Corporation Limited as its leading agency, according to a press release by the President’s Office.

The president also suggested the participation of the country’s banks, telecom companies, state-owned companies and fintech companies in the consortium.

He “decided to take the necessary steps” on the recommendation of the Cabinet, the press release said.

“This move is expected to bring significant benefits to the Maldivian economy, including increased financial inclusion, improved efficiency in financial transactions, and enhanced digital infrastructure,” it said.

Mr. Muizzu also constituted an inter-agency coordination team comprising the Ministry of Finance, the Ministry of Homeland Security and Technology and the country’s Monetary Authority to lead the Ministry of Economic Development and Trade in overseeing the establishment of the UPI in the Maldives.

The agreement to introduce UPI in Maldives was signed during External Affairs Minister S. Jaishankar’s three-day official visit to the country in August.

Earlier this month, dollar-starved Maldives floated a new foreign currency regulation, limiting types of transactions allowed in foreign currency and imposing mandatory foreign currency exchange controls on tourism establishments and banks.

The Maldivian economy appears to have taken a hit after calls to Indian tourists to avoid the picturesque island nation as a response to President Muizzu’s ‘India Out’ campaign last year.

Mr. Muizzu won the presidential election last year on an ‘India out’ campaign and asked New Delhi to withdraw its military personnel posted in the archipelago nation by May this year. However, Muizzu has since toned down his anti-India stance and visited India on his first state visit to the country earlier this month.

Tourism is the main source of economic activity for the Maldives, contributing nearly 30 per cent of the GDP and generating more than 60 per cent of foreign exchange.

Male, Maldives:

Maldivian Foreign Minister Moosa Zameer has said that significant strides have been made in expediting India-assisted projects in the Maldives, as he underscored the government’s commitment to prioritising the resumption and completion of these projects.

Mr Zameer, who visited India from May 8 to 10 on his very first bilateral official visit, said he and his Indian counterpart S Jaishankar engaged in bilateral discussions on May 9 to address pivotal matters aimed at expediting the projects initiated with India’s financial assistance.

He said the discussions with S Jaishankar focused on the operational dynamics of the committees entrusted with executing these projects, psmnews.mv reported.

Speaking at a press conference held in the President’s Office, Mr Zameer said India has given the Maldives the green signal to extend the repayment deadline for $ 150 million of a $ 200 million debt. The loan was secured by the previous government upon assuming office in 2019.

Mr Zameer said that $ 50 million of the $ 200 million owed to India was repaid in January. He emphasised that the Indian government has not made any demands in exchange for extending the repayment period of the remaining $ 150 million.

The minister said that a spectrum of initiatives across the Maldives have been kickstarted through loans and grants from India during the previous administration.

He said significant strides have been made in expediting India-assisted projects.

He emphasised the current government’s commitment to prioritising the resumption and completion of these projects. He also underscored his dedication to this endeavour during his recent visit to India.

During the official discussions between the two nations, S Jaishankar reiterated the significance of India’s ongoing projects in the Maldives.

Mr Zameer’s visit to India came amid a downturn in the bilateral ties between the two countries since pro-China president Mohamed Muizzu assumed office six months back.

The relations between the two countries came under severe strain in view of Muizzu insisting on withdrawal of Indian military personnel operating three military platforms in the island nation.

Mr Zameer on Saturday said 76 Indian military personnel were replaced by civilian employees of the Hindustan Aeronautics Limited which manufactured the two helicopters gifted by India, thus also ending the suspense over the exact number of those repatriated at the insistence of Male.

However, the Maldives government has no intention of removing the doctors from India at Senahiya. 

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

Male, Maldives:

Maldivian Foreign Minister Moosa Zameer has said that significant strides have been made in expediting India-assisted projects in the Maldives, as he underscored the government’s commitment to prioritising the resumption and completion of these projects.

Mr Zameer, who visited India from May 8 to 10 on his very first bilateral official visit, said he and his Indian counterpart S Jaishankar engaged in bilateral discussions on May 9 to address pivotal matters aimed at expediting the projects initiated with India’s financial assistance.

He said the discussions with S Jaishankar focused on the operational dynamics of the committees entrusted with executing these projects, psmnews.mv reported.

Speaking at a press conference held in the President’s Office, Mr Zameer said India has given the Maldives the green signal to extend the repayment deadline for $ 150 million of a $ 200 million debt. The loan was secured by the previous government upon assuming office in 2019.

Mr Zameer said that $ 50 million of the $ 200 million owed to India was repaid in January. He emphasised that the Indian government has not made any demands in exchange for extending the repayment period of the remaining $ 150 million.

The minister said that a spectrum of initiatives across the Maldives have been kickstarted through loans and grants from India during the previous administration.

He said significant strides have been made in expediting India-assisted projects.

He emphasised the current government’s commitment to prioritising the resumption and completion of these projects. He also underscored his dedication to this endeavour during his recent visit to India.

During the official discussions between the two nations, S Jaishankar reiterated the significance of India’s ongoing projects in the Maldives.

Mr Zameer’s visit to India came amid a downturn in the bilateral ties between the two countries since pro-China president Mohamed Muizzu assumed office six months back.

The relations between the two countries came under severe strain in view of Muizzu insisting on withdrawal of Indian military personnel operating three military platforms in the island nation.

Mr Zameer on Saturday said 76 Indian military personnel were replaced by civilian employees of the Hindustan Aeronautics Limited which manufactured the two helicopters gifted by India, thus also ending the suspense over the exact number of those repatriated at the insistence of Male.

However, the Maldives government has no intention of removing the doctors from India at Senahiya. 

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)