Maldives President Ibrahim Mohamed Solih on Wednesday assured on the country’s prospering economy.
While noting that the country’s nominal Gross Domestic Product (GDP) is expected to surpass MVR100 billion in 2023, the Maldivian statesman assured that the country’s economic recovery was apace.
Moreover, President Solih claimed that the government revenue for the state was expected at MVR8.5 billion for the first five months in 2022, which had however exceeded expectations by hitting MVR11.1 billion during the period.
Although the country’s economy was recovering at brisk pace, President Solih warned about the persisting international geopolitical tensions; specifically the unpleasant clash between Russia and Ukraine.
President Solih had highlighted on the rising commodity prices, which would inevitably impact the economy of Maldives.
However, the Maldives statesman had affirmed on the administration remaining vigilant and steady to respond to expected risks.
In 2020, the island nation hit the Covid-19 pandemic led brunt which affected the country’s economy on a national scale. However, the economic shortcomings were offset through sound fiscal policies and proper crisis management which assisted in overcoming the impact caused by the pandemic.
Meanwhile, President Solih while addressing the rising commodity prices due to the Russia-Ukraine conflict, stated that the government was prepared with necessary steps to mitigate the impact along with possible austerity measures to reduce state expenditure.
Additionally, the state may shelve large-scale infrastructural projects funded by state borrowings.
President Solih further assured that the country’s international reserves will reach to pre-Covid levels since the robust recovery of Maldives’ economy results in expansion of foreign currency inflows.