
“India will always be there for the progress and prosperity of the people of Maldives,” he said.
The statements – and the Indian financial package – signal a significant improvement in relations between Male and Delhi, which have been strained since Muizzu came to power in November 2023.
Soon after taking over, he chose to travel to Turkey and China – his visit to the latter in January was seen especially as a high-profile snub to India as previous Maldivian leaders traditionally visited Delhi first after being elected.
Around the same time, India was angered by derogatory comments from three Maldivian officials about Modi.
But analysts say the country’s ailing economy has made its leadership mend its ties with India.
The Maldives is staring at a debt default as its foreign exchange reserves have dropped to $440m (£334m), just enough for one-and-a-half months of imports.
On Monday, Muizzu said he held “extensive discussions” with Modi to chart “a path for the future collaboration between our two countries”.
He thanked India and said the budgetary support would be “instrumental in addressing foreign exchange issues”.
The two countries have also agreed on a deal to start talks on a free trade agreement.
Ahead of his meeting with Modi, Muizzu had told the BBC that he expected India to help the country as it has done in the past.
“India is fully cognisant of our fiscal situation, and as one of our biggest development partners, will always be ready to ease our burden, find better alternatives and solutions to the challenges we face,” he said.
Without referring to his anti-India campaign, he said: “We are confident that any differences can be addressed through open dialogue and mutual understanding.”
This was in contrast to his previous decisions, some of which were seen as a way to reduce Delhi’s influence and forge closer ties with India’s rival China.
In February, his administration allowed a Chinese research ship to dock in the Maldives, much to Delhi’s displeasure. Some saw it as a mission to collect data which could be used by the Chinese military for submarine operations.
Muizzu has however rejected the pro-China tag, calling his policies as “Maldives First”.
But the country also continues to depend on China, which has so far extended $1.37bn in loans.
Additonal reporting by Anbarasan Ethirajan
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