UK MPs have backed legislation to formalise the transfer of sovereignty over the Chagos Islands to Mauritius, a move that reflects ongoing geopolitical complexities in the Indian Ocean region. The Diego Garcia Military Base and British Indian Ocean Territory Bill passed its third reading with a substantial majority of 149 votes. The legislation follows a treaty signed by the UK Government in May to cede control of the British Indian Ocean Territory to Mauritius, while the UK will retain operational command of the UK-US military base on Diego Garcia for at least 99 years. The military base's maintenance will cost an average of £101 million annually.

During the parliamentary debate, concerns were voiced by Shadow Foreign Office Minister Wendy Morton about potential secret discussions between Mauritius and China regarding the status of Peros Banhos, one of the islands in the archipelago. She stressed the risks of such negotiations possibly occurring behind the UK’s back, especially given the strategic significance of the islands. Morton notably questioned, “If these discussions are taking place without the UK with a friendly country, one can only wonder what discussions are taking place in secret with China and Russia.” However, Foreign Office Minister Stephen Doughty reassured MPs that under the treaty, foreign powers would be prohibited from establishing military bases on the Chagos Islands, thereby safeguarding UK and allied interests in the area.

The issue of Mauritius aligning more closely with China gains further context amid the growing economic cooperation between the two nations. Recently, the People's Bank of China and the Bank of Mauritius signed a bilateral currency swap agreement valued at 2 billion yuan (approximately $281 million). This arrangement, valid for three years with the possibility of renewal, is designed to deepen financial cooperation, expand the use of both Chinese yuan and Mauritian rupee in bilateral trade, and facilitate investment. Observers note that such agreements are part of China's broader strategy to enhance its influence in Africa and the Indian Ocean region.

In addition to financial ties, China has been strengthening maritime connectivity with Mauritius. The delivery of a multipurpose vessel named 'Peros Banhos,' constructed by Huanghai Shipbuilding Co in Shandong province, symbolizes a new phase of cooperation. The ship, capable of transporting goods between Mauritius’ main island and its surrounding islands, is a tangible sign of Beijing’s growing economic footprint in the region. This increased engagement supports Mauritius's role as a critical hub for regional trade and settlements, including its status as the third RMB clearing hub in Africa, which allows transactions in yuan without intermediary currencies.

China and Mauritius have a long-standing diplomatic relationship dating back to 1972, strengthened by various bilateral agreements including a Free Trade Agreement that came into effect in 2021. This backdrop underlines the complex dynamics at play as the sovereignty of the Chagos Islands shifts. While the UK maintains military control over Diego Garcia, its historical claim is increasingly challenged by Mauritius' strategic partnerships, particularly with China. These developments highlight the delicate balance of power in the Indian Ocean and raise questions about future geopolitical alignments in this strategically vital area.

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Source: Noah Wire Services