The US has said it welcomes the Maldives and India renewing their decades-long diplomatic ties.

President Ibrahim Mohamed Solih recently concluded a three-day visit to the neighboring nation, where India agreed to provide a financial assistance of USD 1.4 billion to Maldives.

Speaking to Indian reporters, Deputy Assistant Secretary of State for South and Central Asia David Ranz said the US welcomes India reinvigorating its ties with Maldives and notes the many positive announcements made by President Solih during his state visit.

Ranz, who earlier visited the Maldives and spoke with senior government officials, said that the US wants to assist the new Maldives government in achieving its 100-day plan and has offered security assistance due to its strategic location in the region.

He also said that the US has committed USD 10 million to strengthen democracy, improve governance, root out corruption, enhance security, and promote economic development in Maldives.

Maldives and India signed four significant agreements during President Solih’s state visit on the invitation of Prime Minister Narendra Modi.

Diplomatic relations between the two countries severely deteriorated during former President Abdulla Yameen’s administration.