India extends Maldives' USD 50 million T-bill repayment deadline

India has once again granted an extension on the repayment of the USD 50 million owed this month for T-bills sold by the Maldives' government to State Bank of India (SBI). 

The deadline for repayment was today. Finance Minister Moosa Zameer discussed this with Indian High Commissioner to Maldives G. Balasubramanian at a meeting held at the Finance Ministry yesterday.

The T-bill is part of USD 200 million taken as budget support in 2019 by the former administration led by President Ibrahim Mohamed Solih. In January 2024, the government repaid a USD 50 million (MVR 770 million) T-bill from this. Of the remaining USD 100 million, USD 50 million was due in May last year. India granted a one year extension on that. 

This time, too, India has deferred the remaining amount of the T-bill. 

The Finance Ministry said that yesterday's meeting featured discussions about the development project portfolio which will be financed under the Line of Credit (LOC) extended by the Indian government. Key challenges faced in implementation were shared, as well as paths to successful completion of said projects. 

In addition to deferring repayment of the USD 100 million issued as budget support, a USD 750 million currency swap facility was extended to Maldives. USD 400 million of this is being used by the government. The government is also in discussion with India's central bank, Reserve Bank of India, to take the remaining INR 30 billion swap facility.