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China hits-back at concerns over Maldives island lease

China Wednesday hit-back at concern expressed by India over the recent lease of a Maldives island to a Chinese firm.

Feydhoo Finolhu, the nearest uninhabited island to capital Male and the international airport, has been leased to a Chinese company for 50 years at a cost of about USD4 million, the Maldivian tourism minister Moosa Zameer announced on Tuesday, without disclosing the name of the company.

India has continued to express concern over growing Chinese influence in the archipelago with the regional giants seeing it as causing adverse strategic implications for India in its backyard.

Times of India quoted sources saying that Indian officials would look to discuss the issue of leasing of islands to foreign firms with Maldivian foreign minister Mohamed Asim on his visit to Delhi next month.

However, Chinese Ambassador to Maldives Wan Fukang on Wednesday said he was rather surprised by the media attention over such a small matter.

"Foreign investors are important to Maldives tourism and economy. As far as I know there are three Chinese companies involved in resort construction in the Maldives. So I think that's how this also happened," the ambassador told local reporters during a press briefing on Wednesday.

"Maldives I think is open to all foreign investors."

Feydhoo Finolhu, previously used by the education ministry for school trips and cadet, scout, and girl guide activities before police turned into a training island, was among 11 islands and two lagoons listed by the tourism ministry in late October for leasing before the end of the year.

The Maldives had amended its law in July to allow the government to skip competitive bidding process when leasing islands.

India has continued to accuse China of eyeing opportunities to help build infrastructure in Maldives to expand its footprint in the Indian Ocean Region as part of its ‘One Belt One Road’ connectivity initiative.