India Extends ₹30 Billion Currency Swap to Maldives

• 24 Apr 2026

On 23rd April 2026, India approved a ₹30 billion currency swap for Maldives under the SAARC framework, reinforcing financial cooperation.

Key Points

• Swap Facility Details:
  • ₹30 billion released under INR Swap Window.
  • Part of SAARC Currency Swap Framework (2024-2027).
• Implementing Institutions: Agreement between Reserve Bank of India and Maldives Monetary Authority.
• Recent Development:
  • Maldives repaid $400 million swap from October 2024.
  • Reflects commitment to financial obligations.
• Purpose of Assistance:
  • Support foreign exchange reserves.
  • Help manage balance-of-payments pressures.
  • Ensure macroeconomic stability.
• Strategic Importance:
  • Strengthens India-Maldives economic partnership.
  • Counters external economic influence in the region.
• Policy Context:
  • Aligns with India’s “Neighbourhood First” policy.
  • Supports Vision MAHASAGAR.
• Historical Support: RBI has extended $1.1 billion to Maldives since 2012.
• Economic Impact:
  • Provides liquidity during global uncertainty.
  • Boosts investor confidence and financial stability.