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13 August 2024

The Maldives’ Tightrope Walk: Balancing China-India Relations Amid Mounting Debt

Eva Abdulla

The Maldives finds itself at a critical juncture, navigating the turbulent waters of great power competition in the Indian Ocean as India and China vie for influence. Once as reliable as the calm Maldivian sea in March or as predictable as rain on a July day, Maldivian foreign policy now appears to leave local observers and foreign diplomats racking their brains over which way incoming governments will turn, and by just how much.

Recent developments highlight the contradictions inherent in the country’s attempts to balance its strategic interests amid the intensifying rivalry between India and China, all while grappling with a mounting public debt crisis.

Political Landscape and Strategic Realignment

The September 2023 presidential election saw the victory of Dr. Mohamed Muizzu, marking a significant shift away from the previous administration’s foreign policy orientation.

Muizzu’s flagship election promise was removing Indian troops from the Maldives, which raised alarm bells in New Delhi while being welcomed by Beijing. The new government also vowed to review more than 100 agreements with India.

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