India has extended a financial package worth USD 250 million (MVR 3.9 billion) to Maldives as budget support to overcome the economic impact of the coronavirus pandemic.
The financial package was announced during a digital video conference between Maldivian Foreign Minister Abdulla Shahid and the Indian External Affairs Minister Dr. Subrahmanyam Jaishankar this Thursday.
Maldives was previously projected to collect MVR 29.9 billion as income this year, but the Finance Ministry revised its projections in light of the coronavirus pandemic, and announced that Maldives is expected to collect MVR 15.2 million in the best case scenario.
The Finance Ministry has announced the state needs an additional MVR 12 billion to fill the financing gap.
According to the Foreign Ministry, the MVR 3.9 billion package provided by India on Thursday will support the Maldives meet the government’s financing gap, and support the government’s coronavirus pandemic response efforts.
Meanwhile, India also announced a financial package of USD 500 million for the Greater Male’ Connectivity Project, which will link Male’, Vilimale’ Thilafushi and Gulhifalhu via bridges and causeways.
Maldivian President Ibrahim Solih has hailed the assistance as a landmark moment in Maldives-India cooperation, and thanked the Indian Prime Minister Narendra Modi and the Indian people for the support.
A landmark moment in Maldives-India cooperation today as we receive Indian assistance of USD250 million as budget support and USD500 million for the Greater Malé Connectivity Project. I thank PM @narendramodi and the Indian people for their generosity and friendship.— Ibrahim Mohamed Solih (@ibusolih) August 13, 2020