BEIJING: China and the Maldives marked a significant upgrade in their relationship as President Mohamed Muizzu embarked on his first state visit to Beijing. President Xi Jinping, welcoming Muizzu at the Great Hall of the People, declared a “comprehensive strategic cooperative partnership” between the two nations.
The move underscores China’s commitment to enhancing its presence in the Indian Ocean archipelago, aligning with President Muizzu’s “India Out” campaign, which portrayed India as a threat to Maldives’ sovereignty.
Describing Muizzu as an “old friend,” President Xi stated, “China and the Maldives’ relations are facing a historic opportunity to carry forward the past and forge ahead into the future.” The upgrade in ties is expected to pave the way for increased Chinese investments in the Maldives.
Muizzu, who assumed office in November, has been vocal about concerns regarding India’s influence, leading to the expulsion of several Indian military personnel. The Maldives government, despite its significant debt to Beijing, has been actively promoting opportunities for Chinese investors. Tensions between India and China escalated following a border clash in the western Himalayas in 2020.
China and Maldives Relations
China’s move to strengthen ties with the Maldives mirrors a pattern seen with other neighboring countries, such as Sri Lanka, aligning with China’s Belt and Road Initiative. The Maldives owes China $1.37 billion, constituting around 20% of its public debt, making Beijing its largest bilateral creditor. Chinese firms have invested an additional $1.37 billion in the Maldives since its participation in the Belt and Road Initiative in 2014.
President Xi expressed China’s firm support for the Maldives in safeguarding its sovereignty, independence, and national dignity. The commitment also included a willingness to exchange governance experiences. The World Bank has cautioned the Maldives against further dependence on China, citing sovereign exposure and a lack of domestic investment opportunities.
President Muizzu’s visit witnessed signing 20 key agreements between the two nations. Xi proposed an increase in direct flights between China and the Maldives, potentially benefiting the archipelago’s crucial travel and tourism sector, which contributed 79% to economic growth in 2022.
