The overall state debt has continued to fall, hitting 95% of GDP, the Maldives Monetary Authority (MMA) revealed.
The public debt, excluding guaranteed loans, stood at MVR 68.3 billion at the end of the first quarter of this year, up 3% from the end of 2020.
According to MMA figures, the debt-to-GDP ratio was 116% at the end of 2020, but it had dropped substantially to 95% by the end of the first quarter of 2021.
The central bank noted that the increase in debt during this period is mostly due to internal debts.
It also revealed that by the end of August 2021, the monetary reserve had risen by 25%, with the external reserve totaling USD 874.3 million.
The rise in the country’s reserve is due to an increase in the MMA’s net foreign and net domestic assets.
Furthermore, the MMA said that the inflation rate had dropped from 0.9% to 0.4% at the end of August.
