A digest of news and opinion from the Maldives.
International financial research and credit rating agency, Moody’s Investors Service (Moody’s) has said that the 2021 budget proposed by the Maldivian government underscored the significant fiscal deterioration of the country amid the collapse of the tourism industry. According to a publication released on Friday, Moody’s stated that the proposed budget for 2021 highlighted the government’s […]
Ratings giant Moody’s has indicated that they would consider raising ratings for the Maldives if fiscal deficit is lowered. Moody’s said that if the deficit continues to increase, then it will impact the ability for the nation to borrow. At 65.7 percent of GDP in 2016, debt is significantly above the median for B-rated sovereigns […]
Maldives Monetary Authority Governor Ahmed Naseer has said that since the expected total revenue (excluding grants) of the Government is 1.3 times higher than the expected current expenditure, the revenue is sufficient to cover current expenditure, and funds raised from borrowings are used solely for capital investments. On 22 November, a National Budget of MVR27.9 […]
Moody’s says the Maldives’ (B2 stable) announcement of a tap bond offering on its existing $200m 7.0% notes due 2022 will carry the B2 rating of the senior unsecured US dollar-denominated notes issued in June 2017, based on the preliminary prospectus. The senior unsecured notes will rank pari passu with all of the Government of […]
However, robust growth has been accompanied by budget and current account deficits, and a ramp-up in debt. Maldives’ small size, narrow economic diversification and low level of development also raise its vulnerability to natural disasters. Moody’s conclusions are contained in its just-released annual credit analysis titled “Government of Maldives – B2 stable” and which examines […]