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India Offers $1.4 Billion to Maldives Amid Tussle With China

  • New Maldivian president makes first foreign visit to New Delhi
  • Trip comes after ousting of the pro-China Maldives leader
An aerial view of one islands that make up the Maldives. 

An aerial view of one islands that make up the Maldives. 

Photographer: Roberto Schmidt/AFP via Getty Images

India has offered the Maldives $1.4 billion through a credit line and budgetary support as the tiny island nation’s new government pivots from a pro-China foreign policy to one focused on its close neighbor India.

The loan agreement came after talks between newly-elected Maldives President Ibrahim Mohamed Solih and Indian Prime Minister Narendra Modi. The two leaders discussed regional stability and defense cooperation as Solih visited the Indian capital on his first trip overseas as president.