Exiled Maldives opposition leader Mohamed Nasheed accused China on Monday of seizing land in the politically-troubled Indian Ocean archipelago and undermining its sovereignty.

Nasheed, on a visit to the Sri Lankan capital Colombo where his Maldivian Democratic Party activists are based, also warned of the rise of radical Islamists in the holiday paradise.

Nasheed said Chinese interests had leased at least 16 of the nation's 1,192 scattered coral islands and were building ports and other infrastructure.

The 50-year-old said the increased Chinese presence could threaten the Muslim-majority nation of 340,000 and the wider Indian Ocean region.

Nasheed called the Chinese action a "land grab".

"This is colonialism and we must not allow it. We want other countries (in the region) to join us and speak the same language (against Chinese expansion). We are not against any country, not against direct foreign investment, but we are against relinquishing our sovereignty."

Nasheed said 80 percent of the Maldives' foreign debt was owed to China and it could end up handing over more land and infrastructure as it may not be able to repay the loans.

Nasheed, who wants to contest this year's presidential election, said he would renegotiate contracts with China if successful.

Nasheed in 2008 became the Maldives' first democratically elected president but was ousted in an alleged coup backed by religious extremists in February 2012.

In 2013 he stood again for the presidency but was defeated by Abdullah Yameen.

In 2015 he was jailed on terrorism charges which he says were politically motivated, and has has lived in exile in Britain for two years after Maldives authorities let him travel there for medical treatment.

- Paradise threatened -

Nasheed said key branches of the government were being infiltrated by Salafists, an ultra-conservative branch of Sunni Islam.

"Paradise is threatened by a religious extremist takeover," he said.

"It's not an exaggeration to say that there is now a parallel state in the Maldives. A state within the state. A network of religious radicals have infiltrated strategic institutions, the government and the street gangs."

"They lie in wait, ready to overrun the country and impose a radical version of religion upon Maldivians and tourists alike," Nasheed said.

He estimated that about 300 Maldivians had joined Islamic State militants in Syria and Iraq and many were returning to the atoll nation.

Last week, the Maldivian government promised to block websites seeking to radicalise the population after the United States warned its nationals that extremist groups may attack with little warning in the popular tourist destination.

A crude explosive device was set off at a park in the capital Male in 2007 injuring a dozen tourists, most of them Chinese, in what was seen as a home-grown terror attack.

There have been no recent attacks targeting tourists however.

Nasheed is almost certain to be arrested if he returns to the Maldives for the election.

The constitution bars him from being a candidate because of his criminal conviction. But he hopes the restriction will be lifted in response to international pressure.

A UN panel has ruled that Nasheed's imprisonment was illegal and ordered authorities to pay compensation. The government has refused.

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