From defence to digital: India’s $175 million surprise package for Seychelles

The announcement was made in a joint statement issued after talks between Prime Minister Narendra Modi and Seychelles President Dr Patrick Herminie.

“Reaffirming their commitment to expanding and deepening the people-centric development partnership between the two countries, India announced a ‘Special Economic Package’ of USD 175 million,” the joint statement said. The package includes a blended financial assistance of USD 125 million in Rupee-denominated Line of Credit and USD 50 million in grant assistance for development cooperation projects, capacity building for civilian and defence officials, maritime security and related initiatives.

Recognising India’s rapid digitalisation as a force for good in the Global South, both leaders agreed to enhance cooperation in digital transformation. India will support Seychelles in building comprehensive Digital Public Infrastructure (DPI), including digital payments systems, in line with the country’s governance and citizen-service requirements.

President Herminie expressed gratitude to Prime Minister Modi for the donation of 10 ambulances — including Basic Life Support and Advanced Life Support units — equipped with modern medical systems to strengthen Seychelles’ emergency healthcare services. The gesture was described as a reflection of the people-centric nature of the bilateral partnership.

The two leaders also welcomed Seychelles’ recognition of the Indian Pharmacopoeia (IP), which is expected to streamline procurement of quality-assured essential medicines and facilitate access to affordable drugs through collaboration under India’s Jan Aushadhi initiative.

Defence Cooperation and Maritime Security

Prime Minister Modi and President Herminie underscored that maritime security and defence remain a key and time-tested pillar of bilateral ties. Modi described Seychelles as an important maritime partner under India’s MAHASAGAR vision (Mutual and Holistic Advancement for Security and Growth Across Regions) and reiterated New Delhi’s continued support in addressing Seychelles’ maritime security and defence requirements.

Both leaders agreed that a strong India-Seychelles partnership in the maritime domain reinforces regional stability and contributes to the well-being and prosperity of both nations.

They reaffirmed their commitment to ensuring a free, open, safe and secure Indian Ocean Region, anchored in respect for international law, freedom of navigation and a rules-based maritime order. The leaders resolved to enhance cooperation in addressing maritime challenges such as piracy, narcotics trafficking, human trafficking, illegal, unreported and unregulated fishing, and other transnational crimes, including those linked to organised crime and terrorism financing.

President Herminie thanked India for its steadfast support in joint maritime surveillance, hydrographic surveys, bilateral exercises, intelligence sharing and capacity building for the Seychelles Defence Forces (SDF). Both sides agreed to strengthen cooperation through customised training programmes and provision of naval, air and transport assets.

The two leaders also agreed to elevate institutional engagement mechanisms to ensure greater coordination and higher-level exchanges.

President Herminie appreciated India’s participation in Seychelles’ National Day celebrations through Indian Armed Forces contingents and both sides agreed to continue this tradition during the country’s 50th National Day celebrations.

He also conveyed gratitude for India’s grant assistance toward the refit of PS Zoroaster, as well as the recent donation of 10 utility vehicles and five laser radial boats to support the logistical needs of the Seychelles Defence Forces.

Regional and Multilateral Cooperation

Highlighting the importance of regional mechanisms in strengthening maritime security in the Indian Ocean Region, both leaders agreed to intensify consultations on issues of mutual interest.

Prime Minister Modi welcomed Seychelles’ decision to become a full member of the Colombo Security Conclave (CSC).

He also thanked President Herminie for Seychelles’ support for India’s candidatures in regional and international forums. President Herminie reaffirmed Seychelles’ backing for India’s bid for permanent membership of the United Nations Security Council.