India Extends $50 Million Treasury Bill to Maldives Amid Economic Instability
| Aspect | Details |
|---|---|
| Event | India extends $50 million treasury bill to Maldives |
| Date | May 12, 2025 |
| Amount | $50 million |
| Instrument | Treasury bill issued by Maldives' Finance Ministry |
| Facilitator | State Bank of India (SBI) |
| Term | Rolled over for 1 more year |
| Purpose | Provide financial breathing space to Maldives amid debt crisis |
| Background | Maldives faces rising public debt due to external borrowings and pandemic |
| Previous Subscription | India first subscribed to the treasury bill in 2023 |
| Strategic Importance | Maldives is a maritime neighbor and part of India's 'Neighbourhood First' policy |
| Significance | Aims to maintain economic stability and reduce dependence on non-democratic nations |
| Diplomatic Context | Comes after a tense phase in bilateral relations |
| About Treasury Bills | Short-term debt instruments issued by governments for immediate funding needs |