The British Indian Ocean Territory was formally created through an Order in Council, which proclaimed the territorial inclusion of the Chagos Archipelago, Aldabra, Farquhar, and Des Roches islands. This official designation was largely influenced by the geopolitical environment of the 1960s, where the British government sought to enhance its strategic military presence in the Indian Ocean amidst growing Cold War tensions. The area was seen as pivotal for securing trade routes and protecting British interests in Asia, Africa, and the Middle East.

As part of the establishment process, the Chagos Archipelago became home to the United States military base on Diego Garcia, which significantly impacted the local population. The island’s native inhabitants were forcibly removed in the late 1960s and early 1970s, highlighting the conflict between strategic military necessity and the rights of displaced peoples. This population displacement has since led to ongoing legal and human rights discussions about sovereignty and the right to return.

The decision to create this territory not only reshaped the demographics of the islands but also influenced international relations in the region, establishing the British Indian Ocean Territory as a focal point for military operations and a cornerstone of Western defense strategy during the Cold War. This new territory’s strategic importance continues to play a role in contemporary military and geopolitical discussions.