India has cautioned the Maldives against entering trade agreements that may jeopardize its fiscal stability, after the archipelago nation signed pacts with China and Turkiye. New Delhi emphasized that these agreements could result in significant revenue losses for the Maldives,

Malé has been facing a liquidity crisis. Last year, India rolled over $100 mn worth of loans, while offering roughly $750 mn in currency swap lines to support neighbouring country.