New Delhi is set to introduce its payments system to boost tourism to the island nation
Indian Foreign Minister Subrahmanyam Jaishankar is the Maldives on an official visit. This is the minister’s first trip to the island nation since relations between the two countries soured earlier this year under the new Maldivian government led by President Mohamed Muizzu.
Ties between New Delhi and the Maldives were strained after Muizzu ordered the removal of Indian troops stationed on the islands soon after taking charge of the country. The personnel, which had been operating surveillance aircraft in the Maldives, were withdrawn earlier this year and replaced with civilians. In March, the Maldives signed a military agreement with China.
On Friday, Jaishankar said he was in the Maldives to “take stock of our defense and security engagement.” He also announced that India and the Maldives had signed an agreement to introduce India’s Unified Payments Interface in the archipelago nation. RuPay cards, India’s indigenous payment card system, which is akin to Visa and MasterCard, will be able to be used for transactions in Indian rupees in the Maldives, making it easier for tourists to make payments.
The Maldives, known for its scenic beaches, is a popular destination for Indian tourists. However, Indians began boycotting the islands en masse this past January when ministers in Muizzu’s cabinet criticized Indian Prime Minister Narendra Modi for a post promoting India’s Lakshadweep islands as an alternate tourist destination. The ministers were suspended after New Delhi took exception to the comments.
In the early days of the spat, Muizzu traveled to Beijing and suggested that the Maldives should boost tourism from China. However, in May, Maldivian Tourism Minister Ibrahim Faisal asked Indians to visit the islands, noting that the country’s economy is largely dependent on tourism.
Read more