New Delhi: In a significant stride towards strengthening regional economic integration, India and the Maldives have successfully concluded the inaugural round of negotiations for a proposed bilateral Free Trade Agreement. The talks, which were held virtually, commenced on June 29 and wrapped up on July 7, 2026. The Indian negotiating team was spearheaded by Ujjwal Kumar Ghosh, Joint Secretary in the Department of Commerce, while the Maldivian delegation was led by Chief Negotiator Yusuf Riza. Throughout the week-long deliberations, officials from both nations participated in text-based discussions spanning eight technical sessions that targeted eight distinct policy areas. Representatives reported substantial progress across all negotiating tracks and achieved broad convergence on numerous pivotal issues.
Following the conclusion of the virtual sessions, Union Minister of Commerce and Industry Piyush Goyal met with the Maldivian Minister of Economic Development, Transport, and Trade, Mohamed Saeed, to formally review the progress of the trade talks alongside other ongoing bilateral economic initiatives. As the two neighboring nations celebrate 60 years of formal diplomatic relations this year, both ministers reaffirmed their strong commitment to fast-track the finalization of the trade pact alongside a proposed Bilateral Investment Treaty. In addition to traditional market access, the ministers discussed plans to deepen strategic collaboration in several high-growth sectors, including tourism, digital payment systems, startups, and Micro, Small, and Medium Enterprises.
India currently stands as the second-largest trading partner of the Maldives, with economic engagement showing strong upward momentum. Recent data from the Commerce Ministry reveals that bilateral trade expanded by 13.54 per cent, reaching 771.76 million US dollars during the 2025–26 fiscal year, up from 679.70 million US dollars recorded in the previous fiscal period. The proposed free trade pact aims to establish a balanced and comprehensive framework built on reciprocity and fairness. By eliminating trade barriers and enhancing investment security, the final agreement is expected to unlock new commercial avenues, secure supply chains, and foster long-term sustainable economic growth for both South Asian nations.
