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India pledges $680 Million in Economic Support for Mauritius

India has agreed to provide $680 million to Mauritius in economic aid for projects in healthcare, infrastructure, and maritime security, as New Delhi competes with China to gain more influence in this Indian Ocean nation.

This assistance includes grants and credit lines to support the development and surveillance of a marine protected area in the Chagos Archipelago that houses a U.S. and British air base on Diego Garcia.

In May, Britain ceded sovereignty over the Chagos islands to Mauritius. However, it retained control of its military base through a 99-year leasing agreement. India has always supported Mauritius in its claims to the islands, and it has supported U.S. presence on the Indian Ocean as a way to counter the growing influence of China which has strong trade ties with Mauritius.

The marine protected area is the largest in the world, with an area of over a quarter million square miles, larger than California, the U.S. State.

In a joint announcement made during the visit to India by Mauritian Prime Minster Navinchandra RAMGOOLAM, the economic assistance was announced.

Support is also provided for other projects, such as the construction of a new port, a new hospital and a redevelopment of the existing port. It includes helicopters, budgetary support of $25 million and a grant of 25 million dollars in this current financial year. (Reporting and editing by Alex Richardson; Shivam Patel)

(source: Reuters)