Male [Maldives], July 26 (ANI): In a key development during Prime Minister Narendra Modi's visit to the Maldives, the Maldives Monetary Authority (MMA) has signed an agreement with NPCI International Payments Limited (NIPL) to integrate the digital payment systems of both countries.

In a press release, Maldives' Ministry of Economic Development and Trade welcomed 'the major step forward' in modernizing the Maldives payment systems.

'During Prime Minister Narendra Modi's ongoing state visit, the Maldives Monetary Authority (MMA) signed an important agreement with NPCI International Payments Limited (NIPL) to integrate the payment systems of both countries,' the release said.

'Beyond convenience for individuals, this initiative will boost trade between the Maldives and India by making business payments faster and more efficient. This improved financial connectivity opens doors for stronger economic partnerships and expanded international trade opportunities,' it added.

The release said that under President Dr Mohamed Muizzu's leadership, the Maldives government is committed to bringing world-class financial technology to Maldives.

'This digital payment system is part of a broader effort to build a modern, inclusive economy--one where all Maldivians can benefit from advanced digital services and have better access to fmancial tools that improve their daily lives,' it said.

PM Modi reached Maldives on Friday in the second leg of his two-nation tour.

In his remarks at the Press Statement with Maldives President Mohamed Muizzu, he said that India will continuously cooperate in developing defence capabilities of Maldives and peace, stability and prosperity in Indian Ocean is a common goal of the two countries.

PM Modi talked of expanding economic cooperation and strong development partnership between the two countries.

'In the sector of defence and security, mutual cooperation is the symbol of mutual trust. The building of Defence Ministry, which is being inaugurated today, is a trusted, concrete building. It is a symbol of our strong partnership. Our partnership will also be in weather science. Whatever the weather may be, our friendship will always remain bright and clear. In the development of defence capabilities of Maldives, India will cooperate continuously. Peace, stability and prosperity in Indian Ocean is our shared goal,' PM Modi said.

'Together in Colombo Security Conclave, we will strengthen regional maritime security. Climate change is a challenge for both of us. We have decide to promote renewable energy. In this sector, India will share its experience with Maldives,' he added.

PM Modi said that last year in October, during the President Muizzu's visit to India, the two countries shared a vision on extensive economic and maritime partnership.

'Now, this is becoming a reality. It is a result of that, that our relations are touching new heights. Inauguration of several projects have become possible. 4000 social housing units, built with India's cooperation, will become a new beginning for several families in Maldives. These will be their new houses. Greater Male Connectivity Project, Addu Road Development Project and redevelopment of Hanimaadhoo International Airport - this entire area will emerge as an important transit and economic centre. Soon, with the beginning of ferry system, commuting between different islands will be smoother. After that, the distance between islands will be measured in terms of just ferry time, and not GPS,' he said. (ANI)