The Chagos Archipelago, a remote group of over 60 islands in the Indian Ocean, has long been a focal point of geopolitical tension and environmental significance. Geographically, located approximately 1,600 km northeast of Mauritius, the archipelago holds strategic military value due to its central position in the Indian Ocean, especially the island of Diego Garcia, which hosts one of the most important UK-US military bases in the region. Diego Garcia alone spans 32.5 sq km, nearly the size of India’s Lakshadweep islands, and is vital for military operations, surveillance, and logistical support across the Indo-Pacific and West Asia.
The Story of Chagos Archipelago
Historically, the Chagos Islands were administered as a part of Mauritius under British colonial rule. However, in 1965, just three years before Mauritius gained independence, the United Kingdom unilaterally separated the Chagos Archipelago to form the British Indian Ocean Territory (BIOT). This move was aimed at serving British and American strategic interests during the Cold War. The Chagossian population was forcibly evicted between 1967 and 1973 to facilitate the construction of military infrastructure, particularly on Diego Garcia. The UK compensated Mauritius with £3 million for the detachment, but the decision remained a source of diplomatic friction. Over the years, international bodies, including the International Court of Justice (ICJ) and the United Nations General Assembly, have called for the return of the islands to Mauritius, citing colonial injustice.

What is the Recent settlement?
In a major development, on May 22, 2025, UK Prime Minister Keir Starmer signed a historic agreement with Mauritius, officially transferring sovereignty of the Chagos Archipelago to the island nation. As part of the deal, the United Kingdom will leaseback Diego Garcia for a period of 99 years and pay Mauritius an average of £101 million annually, amounting to a total of £3.4 billion over the lease term. Starmer emphasized that this financial arrangement would actually cost less than operating a single aircraft carrier each year. The United States, which operates the Diego Garcia base jointly with the UK, will continue to bear the operational expenses of the facility, further underlining the strategic value the base holds for Western powers in the Indo-Pacific region. US President Donald Trump endorsed the deal earlier in February, demonstrating bipartisan support for maintaining strategic continuity.
Importance of the Agreement
This agreement is important for several reasons. It marks a pivotal moment in post-colonial history, where a former colonial power agreed to return to territory in accordance with international legal rulings and long-standing claims. It also underscores the balancing act between rectifying historical injustices and maintaining modern strategic interests. For India and other regional actors, the deal reaffirms the importance of the Indian Ocean as a contested geopolitical space. For IR students, scholars and Academicians, this issue integrates themes of international relations, decolonization, global military dynamics, and the evolving role of international law in resolving historic disputes.