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India agreed to provide about $680 million in economic assistance to Mauritius for healthcare, infrastructure and maritime security projects, as New Delhi pushes for greater influence in the Indian Ocean nation in competition with China.

The assistance, in the form of grants and lines of credit, also includes support for development and surveillance of the marine protected area of the Chagos archipelago, which houses a U.S.-British air base on the island of Diego Garcia.

Britain in May ceded sovereignty of the Chagos Islands to Mauritius, but retained control of the military base under a 99-year lease. India has historically backed Mauritius’ claims over the islands and has supported the U.S. presence in the Indian Ocean to check the growing influence of China, which has close trade ties with Mauritius.

The marine protected area, where commercial fishing is banned, is one of the world’s largest, covering a quarter of a million square miles – an area larger than the U.S. state of California.

The economic assistance was announced in a joint statement during the state visit of Mauritian Prime Minister Navinchandra Ramgoolam to India.

Why Mauritius is important for India?

Mauritius is important for India due to its strategic location in the Indian Ocean, deep cultural and historical bonds, and growing economic partnership. The relationship is integral to India’s “Neighbourhood First” policy and its “MAHASAGAR” vision for regional security.

Strategic importance
  • Maritime security: Mauritius’s position in the western Indian Ocean is vital for India’s maritime and regional security interests.
    ο Safeguarding maritime routes: The partnership helps monitor vital sea lanes and protect trade networks in a region of growing global interest.
    ο Countering external influences: Strong ties with Mauritius strengthen India’s position against the expanding naval presence of countries like China in the Indian Ocean.
  • Combating piracy and trafficking: The countries collaborate on shared security concerns such as piracy, terrorism, illegal fishing, and drug trafficking.
    Security provider role: India has historically been a “First Responder” and net security provider in the Indian Ocean region. Recent infrastructure developments on Mauritius’s Agaléga island and the establishment of coastal radar stations enhance maritime surveillance capabilities and enable India to deploy carriers in the region.
  • Regional cooperation: Mauritius is a key partner in several India-led initiatives aimed at regional stability and prosperity, such as the Colombo Security Conclave and the Information Fusion Centre – Indian Ocean Region (IFC-IOR).
 
Cultural and historical ties
  • Indian diaspora: People of Indian origin make up nearly 70% of Mauritius’s population, creating a unique and profound cultural, civilizational, and linguistic bond between the two nations.
  • Shared heritage: This deep-rooted heritage, which traces back to the arrival of indentured laborers in the 19th century, is visible in the celebration of shared festivals and the preservation of Indian languages and traditions.
  • Symbolic connections: The legacy of Mauritian founding father Sir Seewoosagur Ramgoolam, whose family was from India, further strengthens the historical and political bridge between the two countries.

 

Economic and developmental partnership
  • Trade and investment: India is one of Mauritius’s leading trading partners. The two countries signed the Comprehensive Economic Cooperation and Partnership Agreement (CECPA) in 2021, India’s first trade deal with an African nation. Key Indian exports include pharmaceuticals, motor vehicles, and petroleum products.
  • FDI gateway: For a long time, Mauritius has been a major source of Foreign Direct Investment (FDI) into India, leveraging its role as a financial hub and its favorable Double Taxation Avoidance Agreement (DTAA).
  • Development projects: India supports Mauritius’s socioeconomic growth through significant economic packages, lines of credit for priority projects (such as Metro Express and social housing), and cooperation in areas like renewable energy.
  • Human resource development: Mauritius is a major beneficiary of India’s Indian Technical and Economic Cooperation (ITEC) program, receiving training slots for its citizens in various fields, and the countries collaborate on space research and educational exchanges.

 

 

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currentaffairs4upsc
Author: currentaffairs4upsc

UPSC

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