News Desk
MALÉ, Maldives — On a sun-drenched morning in June 2022, Galolhu National Stadium in Malé was transformed into a vibrant tableau of unity. Hundreds of people, diplomats, Maldivians and expatriates alike, spread their yoga mats across the green turf, their synchronized movements a testament to the global reach of International Yoga Day. The event, organized by the Indian High Commission, was meant to be a celebration of mindfulness and cultural connection. But outside the stadium’s gates, a different scene unfolded.
A mob, fueled by anti-India sentiment, gathered in protest. Waving flags emblazoned with the Kalima, a declaration of Islamic faith, they stormed the turf, brandishing flagpoles and machetes. Indian diplomats, the event’s organizers, were forced to seek protection. The clash, one of the most visible outbursts of the “India Out” campaign, led to the arrest of 38 individuals, including two prominent religious scholars and a political activist who would later ascend to a parliamentary seat. The campaign, spearheaded by the opposition at the time, had painted India as an imposing neighbor, accusing it of cultural and political overreach.
Fast forward to June 2025, and the mood in Malé feels markedly different. At the Taj Maldives Resort, the 11th International Yoga Day unfolded with a quiet grace. Over 500 people, including a significant number of Maldivians, gathered under the auspices of the Indian High Commission. The event was inaugurated by Ibrahim Aamir, a state minister for sports, alongside Indian High Commissioner Balasubramanian. The contrast was stark: where there was once hostility, there now appeared a cautious embrace.
The shift reflects a broader transformation in the Maldives’ relationship with India, one driven less by public displays of camaraderie than by pragmatic economic realities. The Maldives has long relied on tourism, which accounts for nearly a quarter of its GDP. But the economic fallout from the COVID-19 pandemic, coupled with political volatility, left the country reeling. India, with its deep pockets and strategic interest in the Indian Ocean, has quietly emerged as a lifeline.
Over the past few years, India has extended significant financial aid to the Maldives, including a $1.4 billion assistance package in 2018 and subsequent lines of credit to bolster infrastructure and liquidity. Projects like the Greater Malé Connectivity Project, a 6.7-kilometer bridge linking the capital to neighboring islands, bear India’s imprint, promising to ease urban congestion and spur economic activity. Indian grants have funded schools, hospitals, and water supply systems, while scholarships and training programs have strengthened ties between the two nations’ bureaucracies.
In October 2024, India extended a $400 million currency swap to the Maldives, a lifeline that bolstered the country’s foreign exchange reserves, according to a June 12, 2025, statement from the Maldives’ Ministry of Finance and Planning. The agreement, brokered between the Reserve Bank of India and the Maldives Monetary Authority under the SAARC Currency Swap Framework, helped avert what Fitch Ratings described as “imminent external liquidity strains” in its June 2025 update, which reaffirmed the Maldives’ ‘CC’ sovereign credit rating. With reserves reaching $856.3 million by April 2025, the swap, alongside robust tourism and new fiscal measures, has eased pressures from high debt costs and global economic volatility. Maldivian officials credit the swap with supporting broader reforms, including budget rationalization and renewable energy initiatives, aimed at reducing the debt-to-GDP ratio. For India, the move underscores its role as a steady partner, fostering regional stability through quiet, technical diplomacy.
Yet, this partnership has not been without friction. The “India Out” campaign, which gained traction in 2021, was rooted in a mix of nationalist fervor and religious conservatism. Critics, including members of the then-opposition Progressive Party of Maldives, accused India of its economic influence and military presence, including a small contingent of Indian technical personnel stationed to oversee military platforms in the country. The 2022 yoga day clash was a flashpoint, with protesters framing the event as an imposition of Indian culture. Mohammed Ismail, a political figure caught up in the arrests, later took to X to distance himself from the violence, alleging it was orchestrated by police officials and MDP leaders. “100 percent I cannot prove it,” he wrote, pointing fingers at then-Commissioner of Police Ismail Naveen and Assistant Commissioner Mohammed Riaz.
India celebrated 11th @UN #InternationalYogaDay2025 in Maldives @TajMaldives with more than 500 yoga enthusiasts participating. State Minister for @MoSFR_mv HE Ibrahim Amir graced the occasion as Chief Guest. @MEAIndia @MoFAmv @moayush @IndianDiplomacy @UNMaldives pic.twitter.com/n6U0vUirAu
— India in Maldives (@HCIMaldives) June 21, 2025
The legal aftermath of the incident tells its own story. Just days before this year’s Yoga Day, the Maldives Prosecutor General’s Office announced it was dropping terrorism and weapons charges against the individuals arrested in 2022, citing insufficient evidence. The decision raised eyebrows, given that some of those once chanting “India Out” now hold influential positions in the government. The red T-shirts emblazoned with the campaign’s slogan have been traded for suits and ties, as economic pressures have forced a recalibration of priorities.
Today, the Maldives’ economy is showing signs of recovery, with tourist arrivals nearing pre-pandemic levels. India, one of the largest source markets for Maldivian tourism, plays a pivotal role. In 2024, Indian visitors accounted for over 10% of the country’s 1.8 million tourists, a number expected to grow as low-cost carriers expand routes between the two nations.
The warming ties were evident at this year’s Yoga Day. State Minister for Sports’ presence at the Taj Maldives Resort signaled official endorsement, a far cry from the chaos of three years ago. For many Maldivians, today’s event was less about yoga itself and more about a shared recognition of interdependence.
Still, the relationship remains delicate. Anti-India rhetoric, though subdued, lingers in certain quarters, particularly among hardline groups. The Maldives’ strategic location, astride key maritime routes, also makes it a focal point for geopolitical maneuvering, with China vying for influence through its own infrastructure investments. For now, though, India’s economic support has given it an edge, one it wields with a careful hand.
As the sun set over the Taj Maldives Resort, the crowd dispersed, their yoga mats rolled up, the ocean lapping gently in the background. The event, like India’s steady role in the Maldives, was understated yet undeniable—a quiet reminder that even in a nation once roiled by cries of “India Out,” economic realities, strengthened by unneighborly goodwill and India’s generous support, can shift the tide.
