.png "India Approves Rs 30 billion for Maldives under SAARC Currency Swap")
- The announcement was made by the Indian High Commission in Malé, coinciding with Maldives settling its earlier $400 million swap facility (Oct 2024).
- Aim: Provide immediate liquidity relief, strengthen foreign exchange reserves, and support Maldives in managing balance‑of‑payment pressures.
- The facility was released under the INR Swap Window, allowing SAARC nations to swap local currency for Indian Rupees.
- Since 2012, the RBI has extended $1.1 billion aggregate swap support to Maldives, highlighting India’s consistent role as a stabilizer.
- The move reflects India’s Neighbourhood First policy and Vision MAHASAGAR, positioning India as Maldives’ “first responder” in times of financial stress.
- By settling the $400 mn debt and accessing ₹30 bn INR swap, Maldives ensured liquidity continuity and debt management stability.
Question:
Q.1 On April 23, 2026, India authorized how much drawdown for the Maldives under the SAARC Currency Swap Framework (2024–2027)?a) ₹30 billion
b) ₹20 billion
c) ₹10 billion
d) ₹50 billion
Answer: a) India approved a ₹30 billion (₹3,000 crore) drawdown for the Maldives under the SAARC Currency Swap Framework to provide liquidity support and strengthen the country’s financial stability.
