Government-issued sukuk have traded above 90 cents since July 2025 and have appreciated by more than 40 per cent since April 2025, reflecting improved investor confidence following fiscal and economic reforms undertaken by the Government.

The sukuk fell sharply in April 2025, dropping to 64.72 cents per USD 1 in value amid widespread claims that the Maldives was heading towards bankruptcy. However, market performance improved from late July 2025, with prices remaining above 90 cents per dollar since then.

The USD 500 million sukuk was issued in 2021 under the previous administration. Annual profit payments on the instrument amount to USD 50 million, paid in two tranches of USD 25 million each.

Minister of Finance and Planning Moosa Zameer said that there were claims the Maldives would face bankruptcy by mid-year, in February 2024, with similar assertions continuing into early 2025.

The Minister noted that the sukuk continues to trade above 90 cents despite nearing its maturity date, indicating sustained investor confidence and ongoing demand in the market.

He also assured that repayment of the sukuk has been fully provided for in the State budget for this year and will be settled in April as scheduled.

The appreciation in sukuk prices, together with Moody’s decision to revise its outlook on the Maldives from negative to stable, points to improved confidence in the Maldivian economy following recent policy reforms.