Speaker of the parliament, Mohamed Nasheed said that the uncleared debt from the former presidency has been taken over from the current government.
Tweeting in regards to the biggest challenge faced to the country, Nasheed said that the current increased debt in the country is concerning since the country does not have a proper reserve of money to clear the debt. He also added that the loans taken during 2012 to 2018 has finished its grace period hence the current government has to take the responsibility of paying back the debt of it as well.
Nasheed further added that a lot of debt clearance needs to be completed between 2021 and 2023 for which he has recommended to review the loan agreements, referring to the current situation that the country is facing.
As per the recent reports from the Finance Ministry, the debt has risen up to 73.9 billion Rufiyaa till end of June. The records also show that the total debt of the Maldives has increased to 108% against the GDP.
Maldives being economically dependent on its tourism industry and since the tourism industry has hit the hardest from the ongoing pandemic, the World Bank has suggested delaying any projects not immediately important as the pandemic has brought in a lot of challenges to the Maldivian economy.
Tweeting in regards to the biggest challenge faced to the country, Nasheed said that the current increased debt in the country is concerning since the country does not have a proper reserve of money to clear the debt. He also added that the loans taken during 2012 to 2018 has finished its grace period hence the current government has to take the responsibility of paying back the debt of it as well.
Nasheed further added that a lot of debt clearance needs to be completed between 2021 and 2023 for which he has recommended to review the loan agreements, referring to the current situation that the country is facing.
As per the recent reports from the Finance Ministry, the debt has risen up to 73.9 billion Rufiyaa till end of June. The records also show that the total debt of the Maldives has increased to 108% against the GDP.
Maldives being economically dependent on its tourism industry and since the tourism industry has hit the hardest from the ongoing pandemic, the World Bank has suggested delaying any projects not immediately important as the pandemic has brought in a lot of challenges to the Maldivian economy.
