Current Affairs 2022 : China- Maldives Deals and Indian Interest

Current Affairs 2022 : China- Maldives Deals and Indian Interest

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Updated on Mar 28, 2022 14:08 IST

By Yash Singhal

China is working on its string of pearl principles to check the influence of India on the Indian Ocean region. Let us read in detail regarding the China-Maldives relations and its significance for India.

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China Maldives Deal

A number of strategic agreements with China for the development of the Maldives, an island country and strategic partner for India in the Indian Ocean, have been signed-in recent months. In accordance with the statement of Maldivian Foreign Minister Abdulla Shahid, China has maintained its position as "one of the most important development partners," and has continued to contribute to the country's socio-economic development. Though this appears to be a gloomy situation from the perspective of a Maldivian citizen, it is nothing more than a debt trap into which China has sucked many countries around the globe. These strategic transactions by China were carried out to cross-check India's trade with the rest of the world.

Exchange of letters of credit

During the visit to the island nation, Mr Wang, China's Foreign Minister, committed to signing numerous bilateral agreements for the development and maintenance of infrastructure in the Indian Ocean archipelago. Accordingly, Mr Wang has agreed to grant citizens of the Maldives a 30-day visa-free entry period once the pandemic restrictions are lifted, which will begin immediately. A 'Letter of Exchange' was also signed between the Maldives government and the People's Republic of China on a 'Feasibility Study of Management and Maintenance of China-Maldives Friendship Bridge' in exchange for Chinese assistance in maintaining the 1.4-kilometre-long bridge that connects the capital Male with the island of Hulhumale. This bridge was constructed with financial assistance from the Chinese government in the amount of approximately $200 million. China has already burdened the Maldives with a debt of $1.4 billion, which President Ibrahim Mohamed Solih's administration is attempting to "restructure." The Maldives is the most suitable location for the installation of desalination plants due to its geographical location. Since China sees this as an opportunity to sell its plants, it has offered assistance in the establishment of desalination plants. They signed an agreement on 'Economic and Technical Cooperation on grant aid, with the emphasis being on projects that benefit people's livelihoods and infrastructure in both countries.

Why Maldives is Significant For India?

A group of islands forming a country finds itself in one of the most strategic locations in the Indian Ocean; the two most important sea lanes of communication are located at the southern and northern ends of this island chain, which is located at the southern and northern ends of this island chain, respectively (SLOCs). The northern IOR is home to one of the busiest SLOCs in the world, with nearly 90,000 vessels passing through it every year, transporting 9.84 billion tonnes of commercial goods. An estimated 36 million barrels of crude oil are transshipped per day, which is equivalent to approximately 64 per cent of all oil trade passing through the Indian Ocean, which originates in the Strait of Hormuz, the Bab el-Mandeb, and the Strait of Malacca.

Maldives is located across this critical SLOC and has a geographical spread of approximately 860 kilometres from north to south. China is keeping a close eye on all of these aspects, as it seeks to disrupt and gain dominance on these SLOCs to achieve its goal of a single Chinese nation. In accordance with this, China seeks to establish dominance over the West, and the country's proximity to the Maldives is one step in that direction. They are critical for the flow of maritime trade between the Gulf of Aden and the Gulf of Hormuz in Western Asia, as well as between the Strait of Malacca in Southeast Asia and the Gulf of Aden. SLOCs are responsible for nearly half of all trade in India, according to official figures. Apart from that, the Maldives is a member of the South Asian Association for Regional Cooperation (SAARC) as well as the South Asia Subregional Economic Cooperation (SASEC).

India is under threat

China's strategic footprint in India's immediate neighbourhood has grown in recent years. The Maldives has emerged as a key 'pearl' in China's "String of Pearls" construction in South Asia, with a population of over one million people. China's strategic presence in the Maldives continues to be a source of concern, particularly given the uncertain dynamics of the Sino-Indian relationship. In addition, the Maldives has begun to use the China card in their negotiations with India. The visit of the Chinese Foreign Minister will be closely watched by New Delhi, which has maintained frequent, high-level contact with Solih’s government, which has made it clear that it is committed to an 'India First' foreign policy. New Delhi committed $ 1.4 billion to the development of the island nation, which has a population of approximately 5.5 lakh people, following the regime change in Male in 2018.

Additionally, Mr Wang's visit coincides with the growth of an anti-"Indian military presence" campaign among sections of the Maldives' population who are opposed to "Indian military presence" in the country. The allegation has been categorically denied by the government. In recent months, the 'India Out' campaign has gained momentum with the support of President Yameen, whose conviction in a money laundering case was recently overturned by the Supreme Court.

Conclusion

With the rise of radicalisation, there is always a threat to democracy in the Maldives lurking in the shadows. It is possible that returning ISIS cadres of Maldivian origin, radicals, and the Jamaat-e-Islami will pursue the demand for the establishment of the Islamic State and the establishment of Nizam-e-Mustafa in their home countries. The end of democracy in the Maldives will be marked by this event. It will also exacerbate security concerns in Lakshadweep and the rest of the Indian subcontinent. As a result, India must assist the Maldives in the areas of counter-terrorism and intelligence gathering in order to prevent the spread of Islamic terrorism in its backyard.

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About the Author

Yash Singhal, an IIM student, is fond of analysing various developments happening all around the globe and shares his views on the topics kept hidden from prime time debates.
 
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