The Chagos: A New Strategic Asset for India in the Indian Ocean

The Chagos Islands are emerging as a new strategic asset for India in the Indian Ocean. India and Mauritius have agreed to establish a satellite tracking station near the American-British military base of Diego Garcia. The goal is to give India a strategic advantage in light of increased Chinese naval activity in the Indian Ocean.

This information was reported by The Economic Times on their website. An excerpt from the article, published on September 12, was picked up by The Maritime Executive on October 19, under the title "India Secures Defense Presence on Chagos Islands."

According to The Economic Times, the installation of this satellite tracking station will allow India to monitor and receive data from its satellites while serving as a strategic asset for regional surveillance.

The agreement between India and Mauritius, concerning cooperation for the establishment of telemetry, tracking, and telecommunications stations for satellites and launch vehicles, as well as cooperation in areas of space research, sciences, and their applications, was signed during the recent visit of Mauritian Prime Minister Navin Ramgoolam to India.

The Maritime Executive noted that The Economic Times article does not specify the exact location of the new facility, which has likely not yet been determined, but states that it would be located 'near the American-British strategic base of Diego Garcia.'

It remains unclear how the site will be supplied. India's ambition is likely to create a facility similar to the one already established on the island of Agalega, which belongs to Mauritius, and which it has effectively annexed despite official denials.

Mauritius heavily relies on India's support and goodwill, under which the country operates as an extraterritorial financial center for the Indian economy. During the signing of the agreement, Indian Prime Minister Narendra Modi reiterated his long-standing support for the decolonization of the Chagos Islands, adding that "India and Mauritius are two nations, but their dreams and destinies are one."

The India-Mauritius agreement, concluded during Prime Minister Navinchandra Ramgoolam's eight-day visit to New Delhi in September, also allows Indian warships to conduct hydrographic surveys in the archipelago, much of which was designated as a protected marine area when it was under British Indian Ocean Territory. These surveys would be essential if India's Arihant-class nuclear submarines were to operate in the waters of the Chagos. Currently, the INS Arihant (S2), INS Arighaat (S3), and INS Aridhaman (S4) are in service, and a fourth submarine of this class was launched last year.

The agreement also includes upgrading a vessel of the Mauritian Coast Guard to prepare it for patrol missions in the Chagos region, as well as a financial aid package of $680 million, part of which is intended for the "development of the Chagos protected marine area." It is worth noting that, under British administration, this protected marine area was characterized by a lack of development to preserve it in its natural state.

Mauritius and the United Kingdom officially signed the sovereignty transfer agreement on May 25, 2025, but the ratification process is not yet complete. The agreement provides for the continued use of the American naval base at Diego Garcia by the United States under a leasing system once the UK dissolves the British Indian Ocean Territory.

The key proponent of this transfer agreement within the British government, Attorney General Lord Hermer, along with the chief British negotiator, Jonathan Powell, is currently under parliamentary scrutiny following the dropping of charges against two British citizens accused of spying for China — a decision perceived as an attempt to avoid offending Beijing.

Former U.S. Secretary of State Mike Pompeo recently described Jonathan Powell, the current UK National Security Adviser, as a "perfect strategic fool," adding that "Mauritius is a close ally of the Chinese Communist Party, and not only will we lose Diego Garcia, but China will project its power from Diego Garcia." British opposition parties, for their part, have promised to annul this agreement if they come to power.