India's Modi announces USD1.4 bln financial aid to Maldives

India will provide a financial assistance of USD1.4 billion to the Maldives, Prime Minister Narendra Modi announced Monday in a joint statement with the visiting president Ibrahim Mohamed Solih.

“For Maldives’ social and economic development we are providing a financial assistance of USD1.4 billion in the form of budgetary support, currency swap agreements and concessional lines of credit,” Modi said.

Solih, who won a surprise election in September arrived in India on his maiden state visit on Sunday is trying to reset ties with regional power India after his predecessor drew the Maldives closer to China.