• Tuesday, February 11, 2025

ASIA

Cash-strapped Pakistan reaches out to Maldives after India slashes aid

India proposed to slash aid to the island-nation by 22 per cent for the 2024-25 fiscal in its interim budget presented on February 1.

(L-R) Pakistani caretaker prime minister Anwar-ul-Haq Kakar (Photo by GIUSEPPE CACACE/AFP via Getty Images), Maldivian president Mohamed Muizzu (Photo by ISHARA S. KODIKARA/AFP via Getty Images) and Indian prime minister Narendra Modi (Photo by Gareth Copley/Getty Images)

By: Shubham Ghosh

SOUTH Asia’s regional politics might see new equations emerging ever since a diplomatic row started between India and the Maldives after the latter’s new president exhibited clearly his intention to keep New Delhi at a distance.

After Mohamed Muizzu showed that he was more than interested to prioritise China at India’s expense, Pakistan, another regional rival of India, has also jumped into the scene to reach out to the Indian Ocean archipelago. Also, this happened after India announced a cut in aid to the Maldives in its annual budget.

Despite his poll-bound country facing a serious economic hardship, Pakistan’s caretaker prime minister Anwar-ul-Haaq Kakar on Thursday (1) held a telephonic talk with Muizzu to fortify bilateral ties between the two countries, located more than 3,000 kilometres apart.

According to a press release from the Maldivian president’s office, Muizzu has “been assured of the support of the Pakistani government to address the pressing development needs of the Maldives”.

The two leaders discussed the top priorities for the two countries and spoke about enhancing cooperation in the international arena.

Kakar also conveyed his support and assistance to the Maldives’ efforts to mitigate the effects of climate change, the release said.

The Maldives established diplomatic relations with Pakistan on July 26, 1966.

The development took place after India proposed to slash aid to the island-nation by 22 per cent for the 2024-25 fiscal in its interim budget that finance minister Nirmala Sitharaman presented on Thursday.

The Maldives were allocated Rs 600 crore (£57 million) for developmental assistance — the third highest in aid to foreign countries by the Narendra Modi government.

In 2023-24, the Maldives was given Rs 770.90 crore (£73.3 million) as aid, an increase of more than 300 per cent from the Rs 183.16 crore (£17.4 million) granted in the fiscal before.

In fact, New Delhi has reduced its overall allocation of aid to all foreign countries for the forthcoming fiscal by 10 per cent. It allocated Rs 4,883.56 crore (£464.6 million) as aid to foreign nations for 2024-25, less than Rs 5,426.78 crore (£516.2 million) it had budgeted in 2023-24.

(With PTI inputs)

Related Stories