Gov’t to Issue USD 156 Million in Treasury Bills

The Ministry of Finance has announced the issuance of Treasury bills (T-bills) valued at USD 156 million to assist in funding government expenditures.

The issuance will consist of four separate T-bills, collectively amounting to this total. The T-bills will be made available for purchase on 6 October, with the following details: one T-bill worth USD 18.8 million, maturing in 28 days; another valued at USD 18 million, due in 98 days; a third bill of USD 56.8 million, maturing in 82 days; and a final T-bill of USD 64.8 million, which will mature in 364 days. The Ministry has indicated that the interest rates for these T-bills will range from 3.50% to 4.60%.

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T-bills are short-term financial instruments issued at a discount in the local currency, with the face value payable at the end of the specified term. While this structure benefits investors, it is not designed to provide direct advantages to the state. Typically, T-bills are purchased by banks, the Maldives Pension Administration Office, and both public and private sector entities.

In addition to the T-bill issuance, the government is set to implement several revenue-boosting measures. These will include adjustments to airport taxes and fees, increased duties on unhealthy products, revisions to the GST Administrative Act to broaden the tax base, and modifications to green tax rates. The government aims to establish a growth-oriented budget for 2027, supported by these and other revenue-generating initiatives.