USD 30 Million Deposited into Sovereign Development Fund, Says Economic Minister

Minister of Economic Development and Trade, Mohamed Saeed, announced that a sum of USD 30 million has been injected into the Sovereign Development Fund (SDF) during the three-month period since President Dr. Mohamed Muizzu took office.

Addressing a public gathering in Haa Alif Kelaa, the Minister disclosed that upon assuming office, Muizzu found the SDF holding a mere USD 2 million and MVR 2.4 million. He alleged that the previous administration, under the leadership of former President Ibrahim Mohamed Solih, had depleted the fund by converting the USD 400 million it contained.

advertisement

He commended the President, hailing him and his administration as “true leaders” who possess a deep devotion to the nation.

Saeed further projected that by the year’s end, the fund is anticipated to reach USD 130 million.

Established in 2017 by former President Abdulla Yameen to address state debts, the SDF initially fell under the purview of Minister Saeed during his tenure as Economic Minister.

However, despite Saeed’s assertions, a report from Mihaaru indicates that according to statistics from the Maldives Monetary Authority (MMA), the SDF presently holds USD 7 million and MVR 106.6 million.

Under the proposed budget for the current year, the SDF received MVR 4 billion from Airport Development Fees, MVR 1.4 billion through cross-subsidy projects, and MVR 2 billion from various other sources by September 2023.

Of the funds in the SDF, MVR 5.7 billion is invested in treasury bills, with additional investments amounting to MVR 1.7 billion.

The budget allocates MVR 3.8 billion from the SDF for debt repayment this year, with expectations for a significant portion of the fund to be directed towards debt obligations in 2025 and 2026. Notably, the current state debt stands at MVR 120 billion.