The Government, through the Bank of Maldives, has increased financial support to businesses to mitigate the economic impact of global developments, including ongoing tensions in the Middle East.

Speaking at a press briefing at the President’s Office, Minister of Finance and Public Enterprises Moosa Zameer said measures have been taken to stabilise prices and prevent supply shocks by increasing access to foreign exchange and financial services.

Minister Zameer said USD 106 million was provided in the first quarter of this year, compared to USD 5.6 million in the same period last year. He added that USD 40 million was issued for card settlements during the quarter, up from USD 24 million previously.

He said the measures have helped minimise the impact of international market fluctuations, noting that the country has avoided a price shock despite global pressures.

The minister also highlighted increased lending to support economic activity, stating that the Bank of Maldives issued loans worth MVR 163 million between March and April. Of this, MVR 540 million was extended to the tourism sector and MVR 941 million to the construction sector and other industries.

Minister Zameer said the Government is continuing to facilitate access to financing to ensure business continuity and maintain economic stability, adding that current global conditions have not resulted in a slowdown of the Maldivian economy.