India freezes aid to Maldives, ties under stress
4 Dec 2012 6:42 AM IST
In a move to put pressure on Male, India has frozen aid to Maldives as its government on Monday decided to take control of the international airport despite a Singapore court staying the suspension of the contract given to India’s GMR-led consortium.
The high court of Singapore suspended the Maldives government’s decision last week to terminate the $500 million contract, the single largest Indian FDI in the Maldives, awarded to the consortium for developing the Ibrahim Nasir International Airport at Male.
The Maldives government, however, chose to defy the order. Upset at this, India has put on hold $25-million budgetary commitment to Male, said sources.
The high court of Singapore suspended the Maldives government’s decision last week to terminate the $500 million contract, the single largest Indian FDI in the Maldives, awarded to the consortium for developing the Ibrahim Nasir International Airport at Male.
The Maldives government, however, chose to defy the order. Upset at this, India has put on hold $25-million budgetary commitment to Male, said sources.
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