India Announces $175 Million Special Economic Package for Seychelles

Prime Minister Narendra Modi declared a Special Economic Package of 175 million Indian rupees to Seychelles on February 9, 2026, during the state visit of Seychelles President Patrick Herminie to India, as a part of a major diplomatic and strategic move. The package will focus on boosting the development priorities of Seychelles and enhancing the Indian strategic presence in the Indian Ocean Region.

175 Million Package: Organisation, Industries, and Strategic Purview

The Special Economic Package is a combination of both financial rescue in the short run and developmental finance in the long run. It has a $125 million rupee-based Line of Credit on infrastructure and growth based projects and a $50 million grant based on high impact community projects and capacity building. The investment will emphasise on social housing, healthcare, such as the creation of a new hospital, Vocational training, e-mobility and maritime defence. Besides this, India shall also provide 1,000 metric tonnes of grains and lentils, 10 ambulances, and five Laser Radial-class boats to the Seychelles Defence Force. All of these steps support the idea of the twin policy of India, i.e., development cooperation and maritime security cooperation.

India, Seychelles sign $175 million 

Seven MoUs Signing to Organise Long-term Cooperation

India and Seychelles signed seven Memoranda of Understanding (MoUs) to formalise cooperation in important sectors. One of the key elements is digital transformation, and India also offers to provide an example related to digital public infrastructure and digital platforms on a population scale. Other MoUs include maritime collaboration by observing the ocean, research, and exchanging information to enhance the blue economy. Health-sector collaboration involves pharmacopoeial congruence to make sure of low-cost Indian medicines in Seychelles. Other agreements are concerned with civil service training, meteorological cooperation, and 20262030 Cultural Exchange Programme that strengthens people-to-people relations.

Indian Ocean Strategy: Security, UNSC Support, and Local Alignment

The visit was also strategically the full integration of Seychelles into the Colombo Security Conclave enhancing the maritime security coordination in the region led by India. The IndiaSeychelles Joint Vision on Sustainability, Economic Growth and Security (SESEL) was chosen by both parties as a plan of future interaction. India also promised technical support in establishing a specific Seychelles Hydrographic Unit, which has upgraded its level of awareness of the maritime domain. President Herminie in an important diplomatic pronouncement renewed its support of India in its bid to be permanently adopted into the United Nations Security Council. This is not just merely aid diplomacy. It echoes the Indian approach to the Indian Ocean, which is calculated- Indian ocean policy- development aid, maritime security, and multilateralism meet. In the case of Seychelles, it gives a concrete benefit to development; in the case of India, it gives a greater power depth in a region that is becoming more and more defined by a great-power rivalry.