First Light

Minister of Finance and State-Owned Enterprises Hassan Zareer told the People's Majlis that the government's servicing of its debt obligations has won investor confidence for the Maldives, answering a question from Fuvahmulah South MP Ibrahim Hussain. Zareer said repaying debt is something every administration has done, but that the largest single sum was the USD 500 million sukuk this government settled recently.

That sukuk, raised by the previous government in 2021, was repaid in full in a single payment last April along with USD 24.68 million in coupon payments, without taking on a new loan. MVR 9.5 billion has been repaid in debt so far, against MVR 12.9 billion included in this year's budget for debt repayment. Zareer said the credit rating had also improved, and that many investors now meeting the government hold a positive view of the Maldives and are considering large investments.

Fitch upgraded the Maldives to CCC- from CC on 3 June (opens in a new tab), citing reduced near-term default risk after the April sukuk settlement.

The Cabinet decided to channel the generational smoking ban through the school system as part of a national awareness campaign on tobacco and nicotine, acting on a sub-committee presentation at its meeting on Sunday, 16 August. The Ministry of Health, Family and Welfare will lead the effort, working closely with the Ministry of Education, Higher Education and Skills Development, and an oversight mechanism will be established for the campaign.

The Health Ministry will appoint a community focal point on every inhabited island, and the opening phase will bring in at least one civil society organisation from each atoll alongside several across the Greater Malé area. The Cabinet also agreed to partner with youth associates and sports figures, setting dedicated targets to keep athletes entirely tobacco-free. The ban itself covers anyone born on or after 1 January 2007. (opens in a new tab)

The same session agreed to upgrade the Home for People with Special Needs in K. Guraidhoo, to act against the registered owners of SIM cards smuggled into prisons while limiting unskilled foreign workers to one SIM card, to reduce pre-trial detention numbers, to tackle copper wire theft, and to have Island Aviation Services review and reduce the airfares it charges tourists.

President Dr Mohamed Muizzu launched the digital banking platforms of Maldives Premier Bank — the "MPB Plus" mobile application and its internet banking service — at the bank's inaugural corporate gala at Barceló Nasandhura, the President's Office said in a statement dated 17 August.

MPB is described as a Tier 1, fully Maldivian-owned institution that intends to serve individuals, small and medium-sized enterprises and large corporations with services designed around customer requirements and governance structures. Attending were Cabinet members, Maldives Monetary Authority Governor Ahmed Munawar, Presidential Principal Advisor on Trade and Investment Mohamed Ali Janah, MPB board members and executives, partner representatives and figures from the financial sector.

The Maldives Monetary Authority granted MPB its banking licence on 18 May (opens in a new tab), a year after a Tier 1 establishment permit, making it the country's ninth commercial bank. It opened its first branch (opens in a new tab)at Henveiru Sunleet on Boduthakurufaanu Magu on 18 August.

Minister of Fisheries, Agriculture and Ocean Resources Ahmed Shiyam launched the "Aaruveri" matching grant scheme at a ceremony at Manhattan Business School, under which MVR 278 million will be disbursed to people working in the fisheries industry across seven priority areas.

The seven are developing a canning factory, installing renewable energy systems in fish processing plants, installing renewable energy systems on fishing vessels, infrastructure development on an island leased by the ministry, mariculture, fish processing plant development, and value-addition work by small and medium enterprises. Approved projects receive 40 percent of their cost as a grant that does not have to be repaid, with the applicant showing the remaining 60 percent. A portal at aaruveri.fishagriocean.gov.mv is now open for applications.

The scheme sits under the TRANSFORM project, which the fisheries ministry is carrying out with World Bank assistance. Its stated aims include energy efficiency in the industry, sustainable production practices, a better environment for small and medium businesses, developing mariculture as a profitable industry, expanding value-added fish products, and opening business and employment opportunities for women and young people.