Further commitments of India’s Line of Credit
India's grant projects span over seven atolls and involve healthcare, youth development and heritage conservation — but is the Maldivian Government making the most of it?
India's grant projects span over seven atolls and involve healthcare, youth development and heritage conservation — but is the Maldivian Government making the most of it?
Beyond the Line of Credit from India for the Maldives of USD1.4 billion, India has also pledged over USD10 million in grants. These grants have been allocated in the form of High-Impact Community Development Projects (HICDP).
With the announcement of seven new projects across the nation by External Affairs Minister of India, Dr. Jaishankar, funded by the HICDP grant assistance scheme, a further MVR27 million from the LOC has been committed. These projects span over seven atolls, Haa Dhaalu, Noonu, Kaafu, Alif Dhaalu, Thaa, Gaafu Alifu and Seenu, and involve healthcare, youth development and heritage conservation. According to the Indian High Commission of the Maldives, they include the setting up of:
These seven projects raise the total number of HICDPs being implement in the Maldives to 27. During Dr. Jaishankar’s visit, two such projects, namely the drug rehabilitation centre and the Meedhoo eco-tourism zone in Addu, were inaugurated. The HICDP fund is capped at MVR155 million, and intends to cover as many community-centric issues as possible, from youth empowerment to health and environment.
Fifteen of the HICDP projects have already been completed and inaugurated, with more still left to begin as the finances allow.
However, it is important to note that facilities as physical buildings themselves cannot be utilised without the human resources needed for it. The same applies to the newly opened rehabilitation centre, as according to the leaders at Journey, an NGO dedicated to helping recovering addicts with global standard trainings and assistance, have stated that the centre lies empty and unused, citing the importance of not just opening a facility for the name it brings.
What is important to understand about these projects is that, according to official statements, the HICDPs are chosen by the Government of the Maldives through the Ministry of Foreign Affairs. They are projects aimed for high level of community impact and participation, based on the recommendations by the Maldivian government on all fields necessary.
The former High Commissioner of India to the Maldives, Sunjay Sudhir, had stated back in 2019 that the projects were those identified by the Maldives government, and that the entire process from identifying the need to tendering, price negotiations, and implementation was done by different ministries of the government. This is important to keep in mind as the people who have the power to decide, are people who are within the closest proximity to understand the issues that the citizens are facing and what needs to be prioritised. They are also the people who have the knowledge regarding the capabilities of the government and institutions involved, so they can’t be executing projects and keeping them under-utilised by mistake.
This kind of support by India has been crucial, welcome, and greatly appreciated, but as is with most such bilateral connections, it all boils down to how the recipient utilises the assistance in the most effective and efficient manner possible. With the strife regarding India’s alleged military presence and encroachment, the people are suspicious of the overly generousness of India, or at least that is how the image is being portrayed in the general public. A situation the Solih Administration, as well as the Government of India, could address by being perhaps a little bit more transparent — acting within the ideals of the democratic principles both governments profess to live by.
With MVR155 million pledged overall, rounding up to roughly more than USD10 million, for HICDP, the budget cap has nearly been reached, with more projects along the way.
India is a nation that has constantly pushed their motto of Neighbourhood First, at least more tangibly so in the Maldives. For this reason and more, Maldivians hold Indian medical and economic infrastructure in high regard, and continue to do so in spite of the current discontent surrounding military agreements. However, the only loose pebble that might set off an avalanche of mistrust is any would be incompetence on the part of the Maldivian administration; when Indian HICDP programs are not followed through properly.