Indian Investments Transform Addu City: Major Infrastructure Projects Inaugurated During Jaishankar’s Maldives Visit

During External Affairs Minister S Jaishankar’s visit to the Maldives, several New Delhi-funded infrastructure projects were inaugurated in Addu City on Sunday (11 August).

India has collaborated with the Maldivian government on the Addu reclamation and shore protection project to sustainably develop Addu as a regional hub. Earlier this year, 184 hectares of land were successfully reclaimed, reports Economic Times.

Another project being implemented with Indian support is the redevelopment of Addu’s roads and drainage systems, with a budget of $70 million. This project is currently in its final phase.

"We place great importance on impactful community development projects. We are already collaborating on 65 such initiatives, with 12 located in Addu. Five of these have already been completed. We are pleased to see the success of this high-impact community development model, its expanding reach, and its growing presence on a significant scale," Jaishankar stated.

Jaishankar’s three-day visit to the Maldives came after the government led by Mohamed Muizzu signalled a desire to improve ties.

Relations between India and the Maldives had been significantly strained since Muizzu assumed the presidency. This visit marked the first high-level delegation from New Delhi since President Mohamed Muizzu took office in November.

The Ministry of External Affairs (MEA) emphasised that Jaishankar’s visit underscores the strategic importance of the Maldives, India’s maritime neighbour, as a key partner in the ‘Neighbourhood First’ policy and India’s Vision ‘SAGAR’ (Security and Growth for All in the Region).

Over the past few years, India has invested approximately $220 million in Addu. These projects were initiated during the tenure of former President Ibu Solih, between 2018 and 2023.

Furthermore, under an Indian line of credit, the Maldivian government is redeveloping Gan International Airport, which will bridge the gap between Addu Atoll, the rest of the Maldives, and the wider world.

This redevelopment is expected to boost investor confidence and enhance local tourism in Gan and the southern atolls.