Sept 23 (Reuters) – India government-backed 48.50 billion rupees ($506.58 million) line of credit to the Maldives became effective on August 27, 2026, the Reserve Bank of India said on Wednesday, paving the way for individual project-level credit agreements under the facility.
Here are some details:
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The RBI said that the facility will be deployed through individual credit agreements with minimum value of 5 billion rupees each
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Under the agreement, at least 75% of the value of goods, works and services under contracts financed through the facility must be supplied by sellers from India, while the remaining 25% may be sourced from outside India.
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The regulator said the line of credit cannot be used to pay agency commissions on exports, adding that exporters can use their own funds for such payments.
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India had agreed to provide line of credit to the Maldives in July 2025 via the Export-Import Bank to finance various developmental projects in the country.
($1 = 95.7400 Indian rupees)
