Le Week-End, a Mauritian newspaper, reported on Sunday that the two countries could announce a deal early this week after the UK agreed to the front-loading of payments. British officials said that while “a deal is there to be done, it’s not done yet”.

The UK and Mauritius said they’ve made ‘good progress’ in a round of talks to settle the sovereignty of the Chagos archipelago in the Indian Ocean, including the stewardship of a key US-British military base.

Britain struck a deal in October to hand over control of the Chagos Islands to Mauritius while retaining control of the military base on Diego Garcia, the largest island of the Chagos Archipelago in the Indian Ocean, under a 99-year lease -- an agreement that needs to be ratified.

The UK and Mauritius are reportedly making significant progress in their negotiations to finalize a treaty concerning the future of a U.S.-British military base in the Chagos Islands. Both nations have expressed their commitment to ensuring Mauritius' sovereignty and maintaining effective operations at the Diego Garcia base.

Both countries reiterate their commitment to concluding treaty providing that Mauritius is sovereign over Chagos Archipelago, says joint statement - Anadolu Ajansı

Mauritius is in “no rush” to secure a Chagos Islands deal with the UK and is still pushing for more money, officials have told The Telegraph.