In 2024, the government has taken nine loans, reaching a total of USD 334 million (MVR 5.2 billion). Of last year's loans, 80 percent were taken for the Velana International Airport project.
In 2024, the government has taken nine loans, reaching a total of USD 334 million (MVR 5.2 billion).
As per Ministry of Finance statistics, the largest loan was taken from Saudi Fund for Development. This is the USD 150 million (MVR 2.3 billion) loan taken for the development of Velana International Airport.
The second highest loan is from Export Import Bank of China (China EXIM). This is a USD 75 million (MVR 1.2 billion) loan taken for Velana International Airport project refinancing and upgrade.
The third highest loan is from Islamic Development Bank (IDM). Two loans taken from IDB come up to USD 40 million (MVR 617 million). This was taken to arrange funds for small and medium enterprises.
1. Saudi Fund for Development: USD 50 million (MVR 771 million)
2. Saudi Fund for Development: USD 100 million (MVR 1.5 billion)
3. China EXIM Bank: USD 75 million (MVR 1.2 billion)
4. Islamic Development Bank: USD 10 million (MVR 154 million)
5. Islamic Development Bank: USD 30 million (MVR 463 million)
6. Kuwait Fund for Arab Economic Development: USD 10 million (MVR 154 million)
7. Asian Infrastructure Development Bank: USD 15 million (MVR 231 million)
8. Asian Development Bank: USD 4 million (MVR 62 million)
9. Abu Dhabi Fund for Development: USD 40 million (MVR 617 million)
Of last year's loans, 80 percent were taken for the Velana International Airport project. MACL estimates that the airport project will reach completion by mid-year, although the government previously aimed to complete it by last year's peak season.
Finance Ministry statistics show that last year's total State debt was at MVR 139 billion. The budget estimates that this year's State debt will reach MVR 150 billion, which is 124 percent of GDP.
The government has to spend MVR 9.4 billion on debt repayment this year. Next year, MVR 15 billion has to be used for debt repayment. These two years have the highest debt repayment rate in Maldives' history.
Finance Ministry stated that it does not expect State debt to be below 95 percent of GDP in 2026 and 2027. The budget book highlights that further financial reform measures and expenditure cuts are required to decrease debt to this level.
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