Fitch has announced that the rating on the Maldives has been maintained in spite of the political crisis that the Maldives had witnessed since the year began.
A statement released by the Ministry had confirmed the decision.
‘This is the first annual review by Fitch, since their initial rating in May of 2017. This review was completed with extensive meetings in Maldives with the Government and the private sector. In the press released published by Fitch, they not that the rating reflect healthy GDP growth prospects, strong revenue generation capacity through a prosperous tourism sector and favorable structural indicators, to balance the current government debt and reserves position,’ the statement issued by the Ministry said.
Describing the maintenance of rating as a ‘vindication of the administration’s economic agenda’, the Ministry noted that the over the past years the administration had delivered on the economic pledges and reaffirmed their commitment to do so.
Also in the statement, the Ministry noted that agencies such as Fitch had expressed their concern over the debt in the country.
‘The government acknowledges these challenges and remains ready to tackle them. As such, economic diversification is a primary objective of the foreign investment policies and urban development policies that the administration had pursued in the past years,’ it added.
Finance Minister Ahmed Munawwar also spoke about this on the interview granted to Maldives Business Review.
‘Debt is not the biggest challenge to our economy. Political instability is the biggest challenge to our economy. If we had political stability then we would be able to reach a higher level of development than this,’
The Minister in his interview stressed on the importance of collaboration to maintain this rating, as a steady rating by Fitch would encourage more investment from foreign parties.