International RelationsGeography
News 3 of 20

UK-Mauritius Sign Treaty for Chagos Islands Sovereignty Transfer & 99-Year Diego Garcia Lease

Intl. RelationsEnvironmentSecurity & DefenceCORE
Target:UPSC GS-IIMPSCSSC GATeachingPrelims HighMains HighStatic GK Link
21 Feb 2026
~2 min
Source: The Hindu
Key Data:May 202599 years£101 million/year£40 million£3.4 billion2019
Bodies:International Court of Justice (ICJ)UK ParliamentUK GovernmentMauritius GovernmentUS Government
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What This Article Covers

1.The UK Parliament is progressing legislation to ratify a treaty transferring sovereignty of the British Indian Ocean Territory (Chagos Islands) to Mauritius, signed in May 2025.

2.The £3.4 billion deal includes a 99-year leaseback of Diego Garcia for US-UK military use at £101 million/year and a £40 million trust fund for displaced Chagossians.

3.The move aims to preempt a binding legal judgment, addresses ICJ's 2019 non-binding ruling, and faces criticism over Mauritius's ties with China and opposition from former US President Trump.

The Big Picture
Prelims · HighMains · High

The UK is legislating to transfer sovereignty of the Chagos Islands (BIOT) to Mauritius, ending a decades-long decolonization dispute. The deal includes a 99-year leaseback of the strategic Diego Garcia military base to the US-UK, costing Mauritius £101 million annually. This move follows a 2019 ICJ advisory opinion and impacts Indian Ocean geopolitics.

Exam Lens

Quick Exam Facts From News

Year of UK-Mauritius TreatyMay 2025
Leaseback Duration99 years
Annual Lease Cost£101 million
Trust Fund for Chagossians£40 million
Total Estimated Deal Cost£3.4 billion
ICJ Advisory Ruling Year2019
No. of Islands in BIOT60 islands in 7 atolls

1-Minute Revision

  • ›Year of UK-Mauritius Treaty: May 2025
  • ›Leaseback Duration: 99 years
  • ›Target this Data: 99-year leaseback period for Diego Garcia.
  • ›Target this Nodal Body: International Court of Justice (ICJ) for the 2019 advisory opinion.
  • ›Target this Legal Point: Non-binding nature of ICJ advisory opinions.

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Practice exam-style questions, track your score, and strengthen your recall.

Q1Static LinkageEasy

The Chagos Islands are officially referred to as which Overseas Territory?

Q2Statement-basedHard

Consider the following statements regarding the Chagos Islands deal:

1. The deal transfers sovereignty of the islands to Mauritius and includes a 99-year leaseback of Diego Garcia.

2. The International Court of Justice (ICJ) issued a binding judgment in 2019 declaring the UK's administration illegal.

3. The deal includes a £40 million trust fund to support Chagossians, who can resettle on all islands including Diego Garcia.

Which of the statements given above is/are correct?

Q3Data-centricMedium

What is the estimated annual average cost to Mauritius for leasing back the Diego Garcia military base under the new treaty?

Q4Application/ImpactMedium

What is a primary strategic reason cited by the UK for proceeding with the Chagos Islands sovereignty transfer deal?

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