Maldives Will Not Go Bankrupt, Assures Economic Minister

Minister of Economic Development and Trade Mohamed Saeed has addressed concerns over the Maldives’ economic outlook, pledging that the nation will avoid bankruptcy despite current fiscal pressures.

Speaking in response to growing apprehensions about the country’s financial health, Saeed emphasised that proactive measures are in place to manage economic challenges effectively.

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“We are making arrangements to ensure that businessmen can smoothly receive USD400 million and another USD1 billion without problems,” he said

“This country will not go into debt. We are hopeful that this country will progress. Under President Dr

Muizzu’s leadership, our GDP will continue to grow, and the promise of housing will be fulfilled,”
He emphasised that the Maldives have surpassed its designed debt situation and are working to overcome their difficulties.

Minister Saeed also mentioned that the government’s discussions with Fitch and Moody’s rating agencies and the measures being implemented under President Muizzu’s guidance will significantly improve the Maldives’ credit rating.

With Fitch rating the Maldives at Triple C Minus, Saeed acknowledged that it has become challenging for Maldivian businessmen to access development finance, a situation exacerbated by previous monetary policies.

However, Saeed reassured that unsustainable debt would no longer be an issue in the Maldives and that future borrowing would be aligned with income generation.