The Maldives and India have signed a currency swap agreement valued at $400 million and INR 30 billion.
The agreement was signed during President Dr. Mohamed Muizzu’s ongoing state visit to New Delhi, India. The information was shared by President Dr. Muizzu at a press statement held following official talks with Indian Prime Minister Narendra Modi.
The currency swap agreement was signed between the central bank of Maldives, Maldives Monetary Authority (MMA) and the Reserve Bank of India (RBI), with MMA Governor Ahmed Munawwar on behalf of the Maldives, and Secretary, Ministry of Finance, Shri Ajay Seth on behalf of India.
The agreement will enable the MMA to access currency swaps through the US dollar and Indian rupee window. The agreement will allow currency swaps of up to $400 million and INR 30 billion at various intervals.
The currency swap agreement will allow both countries to use their respective currencies in bilateral trade and transactions. The currency swap agreement with India will also ease the Maldives’ foreign exchange shortage.
