Usable reserve of Maldives has depleted to USD 91 million by October's end.
While this marks the lowest the usable reserve has dropped so far in 2023, Maldives Monetary Authority (MMA) statistics show that the usable reserve stood at USD 126 million by the end of September.
The reserve reached its peak in January at USD 254 million, indicating a 64 percent drop by the end of October.
The usable reserve has been impacted by the state's extensive spending on fuel purchases, according to MMA reports. The government spent USD 800 million in 2023 to buy fuel.
The usable reserve stood at USD 105 million in October 2022 according to the central bank.
In addition to the depletion of the usable reserve, the national reserve has also reached its lowest point in October. The national reserve stood at USD 552 million by the end of the review month, which is USD 238 million below the January 2023 figure.
World Bank has highlighted that the Maldives national reserve has observed its steepest decline to date in 2023, and recommended austerity and budget cut measures coupled with revenue expansion to rectify the issue.