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World Bank to grant USD 30 mln to Maldives

Ahmed Aiham
04 July 2019, MVT 16:04
World Bank to grant USD 30 million in an effort to bolster Maldivian public finance management. PHOTO: WORLD BANK
Ahmed Aiham
04 July 2019, MVT 16:04

World Bank's Board of Directors, on July 27, decided to grant USD 30 million to Maldives, to bolster public financial management.

The international financial institution will assist in increasing budget credibility, strengthen policy frameworks and reinforce the capacity of Maldives in its response to the negative impacts of climate change and natural disasters.

Out of the USD 30 million, USD 20 million is allocated under the project 'Maldives First Fiscal Sustainability and Budget Credibility Development Policy Financing Operation', while USD 10 million is allocated for the 'Development Policy Financing with Catastrophe Deferred Drawdown Option (Cat DDO)'.

A total of USD 15 million is provided under grant aid while the remaining USD 15 million is provided as credit.

A repayment period of 40 years and a grace period of 10 years have been assigned for the two projects.

Additionally, World Bank, in June, committed to grant Maldives USD 20 million in loans and free aid to facilitate more opportunities for youth employment.

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