State-owned companies’ debt rises to MVR 37 billion

The total debt of state-owned enterprises (SOEs) has increased to MVR 37 billion, according to first-quarter financial figures.

This represents an increase of MVR 2 billion compared to the previous quarter, when SOE debt stood at MVR 35 billion.

Maldives Airports Company Limited (MACL) holds the largest share of the debt, amounting to MVR 13 billion. MACL’s debt increased by MVR 1.2 billion during the quarter.

Housing Development Corporation (HDC) has the second-largest debt among SOEs at MVR 9.3 billion. However, HDC’s debt declined by five percent from the previous quarter, when it stood at MVR 9.8 billion.

The overall increase in SOE debt was largely driven by higher borrowings by STO and MACL.

State Trading Organization (STO) recorded a 25 percent rise in debt, reaching MVR 983 million. Meanwhile, the debt of Fahi Dhiriulhun Corporation (FDC) increased by MVR 900 million.

Despite the rise in debt, SOE performance showed mixed results in the first quarter. Revenue declined by nine percent, while profits increased by 10 percent during the same period.