Image Credit: pmindia.gov.in
Modi’s Visit Expected to Boost Maldives Tourism
Maldivian President Mohamed Muizzu has said that tourism in the Maldives is expected to rise following Indian Prime Minister Narendra Modi’s two-day state visit on July 25–26. Muizzu described India as “one of the major countries” that supports the Maldives’ tourism industry and said the visit will strengthen people-to-people connections. He expressed hope that tourism numbers from India will increase significantly.
India Seen as Key Driver of Tourism
Muizzu pointed to India’s long-standing contribution to Maldivian tourism, noting that Indian visitors accounted for nearly one million of the country’s over 1.2 million arrivals so far this year. He added that digital payment agreements, such as UPI integration, will simplify travel for Indian tourists and could raise their share of visitors to between 10% and 15%.
New Agreements and Financial Support
Modi’s visit also featured major bilateral announcements. India extended a ₹4,850 crore line of credit (approximately US $565 million) to fund infrastructure and development projects in the Maldives. Leaders launched formal free trade agreement talks and signed cooperation deals in sectors such as tourism, healthcare, fisheries, digital growth, and maritime security. India also handed over heavy defense and transport vehicles.
From Diplomatic Strain to Normalization
The visit marks a turning point after a period of diplomatic tension since Muizzu came to power in November 2023 on an “India Out” platform. Earlier, Indian tourists had boycotted the Maldives following controversial remarks by Maldivian officials. Since last year, relations have warmed gradually—with Muizzu attending Modi’s swearing-in ceremony in India and India providing economic backing to the cash-strapped island nation. Modi’s visit is seen as a reset and reaffirmation of India–Maldives ties.
Tourism Target and Infrastructure Plans
Muizzu reiterated a national target to host 2.3 million tourists by the end of 2025, up from 2 million in 2024. He announced that new resort development in underdeveloped atolls and enhanced airport connectivity are in progress to meet this goal. Meantime, greater collaboration with India is expected to support expansion of tourism infrastructure and island development.
