India loans Maldives with USD 250 million

Loan handover ceremony at Foreign Ministry | Photo: Twitter

Male’, Maldives – India has provided Maldives with a loan of USD 250 million as budget support, to recover from the ongoing Covid-19 pandemic.

In a ceremony held at the Foreign Ministry of Maldives, the loan money was handed over to the Maldivian government by Ambassador Sanjay Sudhir, and was received on behalf of the government by Foreign Minister Abdullah Shahid and Finance Minister Ibrahim Ameer.

It was announced that India would be giving this loan to Maldives sometime around August, in a digital video conference held between Foreign Minister Shahid and Foreign Minister of India Dr. S. Jaishankar.

Maldives is expected to pay back this loan within a period of 10 years, and with an interest of 3.5 percent.

India has been generously supporting the Maldives after the new administration came on to power, including the provision of USD 500 million for the Male’ – Thilafushi bridge project.