President Dr Mohamed Muizzu has stated his strong support for the Debt Sustainability Support Service (DSSS), asserting its potential to address the critical climate financing needs of Small Island Developing States (SIDS), including the Maldives.

SIDS represent a distinctive coalition of 38 United Nations (UN) Member States and 20 Non-UN Members or Associate Members of UN regional commissions. The Maldives currently serves as Co-Chair of the Strategic Advisory Group, alongside Antigua and Barbuda.

Speaking in his capacity as Co-Chair of the Strategic Advisory Group for SIDS, President Dr Muizzu delivered the opening address at a recent high-level meeting, during which he spoke of the transformative potential of the DSSS. He noted that its effective implementation could signify the beginning of a new era in sustainable development for island nations.

Underscoring the urgency of the issue, President Dr Muizzu called for the swift operationalisation of the DSSS. He maintained that resolving debt-related challenges is essential not only for achieving sustainable, long-term development but also for confronting the intertwined global crises of climate change, environmental degradation, and pollution.

He also identified the upcoming Fourth International Conference on Financing for Development (FfD4) as a crucial opportunity to garner broader international endorsement and support for the DSSS. While the initiative has already received recognition from several countries, President Dr Muizzu emphasised the necessity of greater global collaboration to scale up innovative debt instruments and concessional financing frameworks.

Addressing shifting geopolitical dynamics, the President spoke of the growing importance of multilateral and multi-stakeholder approaches to sustainable development. Within this context, he introduced the Maldives’ proposal for a debt-relief-for-resilience-building mechanism—an initiative intended to provide debt relief to nations that demonstrate tangible progress in climate adaptation and sustainable development.

President Dr Muizzu also drew attention to the fact that many SIDS are either currently facing, or are on the verge of, debt distress. He noted that this financial strain coincides with increasing demands for climate finance, creating a dual burden for these vulnerable nations. He argued that securing debt sustainability is a foundational requirement for achieving the goals laid out in the Antigua and Barbuda Agenda for SIDS (ABAS).

Emphasising the need for tailored, context-specific responses, the President advocated for a country-led framework that acknowledges the diverse vulnerabilities and developmental needs of each nation. He explained that the proposed mechanism would enhance fiscal space by linking debt relief to measurable resilience milestones, thereby facilitating sustained investment in national development efforts.

Concluding his remarks, the President stressed that debt sustainability should not be viewed solely through a financial lens, but rather as a matter intrinsically tied to the protection of lives, the safeguarding of livelihoods, and the preservation of a shared future.