The UK on Thursday (May 22) signed a deal transferring the sovereignty of the disputed Chagos Islands to Mauritius, and lease Diego Garcia's military base for £101 million a year (approx. $129 million). This brings an end to years of British rule over the Indian Ocean archipelago. The deal was signed after a UK court overturned a last-minute injunction and cleared the way for an agreement.
Under the deal, the UK will pay Mauritius an average of $129 million per year to lease the Diego Garcia military base for at least 99 years. This means US and the UK can continue to operate a military base in Diego Garcia for 99 years.
Diego Garcia's military base is co-operated by the United States. UK PM Keir Starmer said that the base is crucial for British counterterrorism and intelligence. US President Donald Trump has also publically welcomed the deal.
Why is Chagos Islands 'disputed'?
The Chagos Island is a chain of over 60 islands in the middle of the Indian Ocean. It is in the south of India and Maldives. It has been under British control since 1814. In 1965, Britain designated the area as the British Indian Ocean Territory. Three years later, Mauritius gained independence but by then, Britain had separated the Chagos Islands from Mauritius, thus maintaining British control over the strategic islands. It also invited the US military to use the base and removed indigenous people from there. The UK claims that it purchased the islands for £3m in 1968, however, Mauritius says that it had to let go of the islands in return for independence.
The UK PM during the announcement of the deal said that Trump has welcomed the deal along with other allies, because they see "the strategic importance of this base and that we cannot cede the ground to others who would seek to do us harm."
The US had previously described the base as “an almost indispensable platform” for security operations across the Middle East, South Asia and East Africa. It supported US military operations during the Vietnam War and conflicts in Iraq and Afghanistan. Recently, it was used by the US to deploy several nuclear-capable B-2 Spirit bombers amid an intense airstrike campaign targeting Yemen’s Houthi rebels.
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What is India's stance?
India has welcomed the UK-Mauritius deal which restores Mauritian sovereignty over the Chagos Islands. India's Ministry of External Affairs (MEA) said that India has always backed Mauritius' claim to the Archipelago.
“The formal resolution of the longstanding Chagos dispute through this bilateral treaty is a milestone achievement and a positive development for the region. This is further to the understanding between the two sides reached in October 2024 and marks the culmination of the process of decolonisation of Mauritius in the spirit of international law and rules-based order,” the Ministry of External Affairs in New Delhi stated.
“As a steadfast and longstanding partner of Mauritius, India remains committed to working closely with Mauritius and other like-minded countries to strengthen maritime security and regional stability and ensure peace and prosperity in the Indian Ocean region,” Randhir Jaiswal, the MEA spokesperson, said in a press briefing.


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