External Affairs Minister Dr. S. Jaishankar with Minister of Foreign Affairs of Maldives Abdulla Khalee during a meeting New Delhi in January 2025.
India has renewed a $50 million Treasury Bill issued by the India has extended a $50 million Treasury Bill issued by the Maldivian government for another year, reaffirming its commitment to support the island nation under its ‘Neighbourhood First’ and Vision ‘MAHASAGAR’ policies.
The rollover, facilitated by the State Bank of India (SBI), comes in response to a request from the Government of Maldives and continues an arrangement that has been in place since March 2019.
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According to a statement from the Indian High Commission in the Maldives, the Treasury Bill was issued by the Maldives’ Ministry of Finance and subscribed to by SBI under a unique, interest-free, Government-to-Government financial assistance mechanism. This annual support is intended to assist the Maldives in managing its fiscal needs and implementing key economic reforms.
The Maldives is India’s key maritime neighbour and an important partner in India’s ‘Neighbourhood First’ policy and Vision ‘MAHASAGAR’ i.e. Mutual and Holistic Advancement for Security and Growth Across Regions, the statement said.
Maldivian Minister of Foreign Affairs Abdulla Khaleel acknowledged the extension on social media and thanked India’s External Affairs Minister Dr. S. Jaishankar and the Government of India for the support. He stated that the assistance will help the Maldives in its ongoing fiscal reform efforts.
“This timely assistance reflects the close bonds of friendship between Maldives & India and will support the Government’s ongoing efforts to implement fiscal reforms for economic resilience,” he wrote in an X post.
I express my sincere gratitude to EAM @DrSJaishankar and the Government of #India for extending crucial financial support to the #Maldives through the rollover of the USD 50 million Treasury Bill.
This timely assistance reflects the close bonds of friendship between #Maldives &…
— Abdulla Khaleel (@abkhaleel) May 12, 2025
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The rollover of Treasury Bills, a common financial practice, involves reinvesting the principal of a maturing bill into a new one without altering the original amount. This allows recipient governments to defer repayment and sustain critical fiscal functions without incurring new debt obligations.
Earlier this year, India also extended a special export quota for essential commodities to the Maldives, further reflecting its commitment to the welfare of the Maldivian people and regional stability.
