Maldives Seeks Extension of USD 400 Million Currency Swap Facility From India
Maldives seeks extension to USD 400m swap facility | Photo: The President’s Office
The Government of Maldives has requested an extension to a USD 400 million currency swap facility provided by the Government of India, according to Indian media reports.
Reports published by The Economic Times and Hindustan Times stated that the Maldives has sought to extend the facility originally granted in October 2024. The reports indicated that the arrangement has already been rolled over twice at the Maldives’ request.
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Citing Indian government officials, the newspapers reported that the request is currently under review. However, existing rules governing the facility, including requirements for a cooling-off period between drawdowns and limits on the number of rollovers permitted, may make approval challenging.
The officials also indicated that the previous extensions of the USD 400 million facility, along with the rollover of USD 50 million in treasury bills, were considered exceptional measures extended to a close regional partner.
The Maldivian government has not officially confirmed whether a request for an extension has been submitted.
