India Funds Over USD 6 Million in Community Projects to Boost Ferry Services and Local Development Across Maldives

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A new chapter of collaboration between Maldives and India has been marked with the signing of 13 Memorandums of Understanding (MoUs) under Phase III of the High Impact Community Development Project (HICDP), reinforcing bilateral efforts to strengthen community infrastructure and connectivity across the archipelago. The agreements were formalised during a ceremony held at the Ministry of Foreign Affairs in Malé on 18th May 2025, Sunday, with a total grant commitment of USD 6.48 million (approximately MVR 100 million) from the Government of India.

The projects under HICDP Phase III aim to significantly improve ferry services in the Maldives, support inter-island transport, and enhance community well-being through tangible infrastructure developments. Among the key initiatives are the construction of 12 new passenger vessels and the development of a dedicated ferry terminal in Raa Ungoofaaru. These efforts will support the national Raajje Transport Link (RTL) service, a nationwide high-speed ferry network that is connecting island communities across six regions. Currently, 81 islands in nine atolls have been integrated into the network.

The MoUs were signed by Minister of Foreign Affairs Dr. Abdulla Khaleel on behalf of the Maldivian government, High Commissioner of India to the Maldives H.E. Gopal Baglay representing the Government of India, and Minister of Transport and Civil Aviation Mohamed Ameen on behalf of the implementing agency.

During the ceremony, Minister Khaleel acknowledged India’s consistent support, noting that Indian aid has always been aligned with the developmental needs of the Maldivian people. He expressed confidence that these new projects will not only provide essential services but also elevate socio-economic opportunities for local communities. He extended special appreciation to Indian Prime Minister Narendra Modi and Minister of External Affairs Dr. S. Jaishankar for their steadfast commitment to enhancing Maldives-India relations.

Minister Ameen highlighted the fast-tracked progress of the RTL service, underscoring that although the entire project was initially scheduled for completion by 2027, it is now expected to be finalised by the end of this year, reflecting the commitment of President Dr. Mohamed Muizzu’s administration to expedite national infrastructure goals. He emphasized that India’s contribution through these MoUs will further accelerate the ferry network’s expansion and improve transport accessibility for thousands of residents.

The announcement of the third phase of the HICDP initiative followed President Dr. Mohamed Muizzu’s State Visit to India in October 2024, where both governments reaffirmed their intention to strengthen development cooperation. The signing ceremony in Malé was attended by senior officials from both the Maldivian government and the High Commission of India.

Through these collaborative projects, Maldives continues to enhance its appeal not only as a leading tourist destination but also as a region committed to inclusive and sustainable community development. Visitors to the islands will increasingly benefit from improved transport infrastructure that connects the rich culture, natural beauty, and hospitality spread across the nation’s many inhabited islands.

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