Over the past two years, the government's reserves have remained unstable, experiencing a decline of as much as 50 percent.
Statistics released by the Maldives Monetary Authority reveal that usable reserves stood at USD 177 million by the end of last year.
According to the central bank, the state's official reserves currently stand at USD 589 million.
Reserves amounted to USD 832 million at the end of 2023. Usable reserves stood at USD 268 million, indicating a decrease of USD 243 million in official reserves compared to the previous year. Additionally, usable reserves saw a decline of USD 90 million during 2023.
In October 2023, reserves experienced the most significant decline, with usable reserves dropping to USD 91 million. During that month, official reserves were at USD 552 million. In November last year usable reserves stood at USD 98 million.
Over the past two years, the government's reserves have remained unstable, experiencing a decline of as much as 50 percent.
Usable reserve is the amount of funds available after deducting short-term foreign liabilities from the gross reserve. It represents the amount of money available for immediate use for various foreign exchange transactions.
The previous administration attributed the decline in reserves to high fuel prices in the global market, resulting in significant spending on fuel.
In December, Economic Minister Mohamed Saeed told 'Mihaaru News' that the previous government had not taken enough measures to improve reserves. Efforts are currently underway to resolve the reserve issue, he said.
Sign In