News Desk
MALE’, — Former Vice President Faisal Naseem issued a stern warning to the administration on Thursday, asserting that plans to inject 2.4 billion Maldivian rufiyaa (approximately USD 122 million) into circulation would ruin the economy, spike foreign exchange rates, and inflict unbearable hardships on ordinary citizens.
In a statement posted on social media platform X, Naseem expressed deep apprehension over the government’s economic trajectory amidst deteriorating fiscal conditions across the archipelago.
Naseem directed sharp criticism at the administration’s strategy of leveraging the national pension scheme to absorb government bonds, linking the policy directly to high-profile departures at the oversight body.
“It is deeply alarming that officials at the Pension Office continue to resign in protest over these controversial bond transactions, following a series of earlier departures,” Naseem wrote.
He highlighted growing anxiety within the financial sector, warning that forcing liquidity expansions through institutional pension funds threatens long-term monetary stability.
The former vice president warned that unbacked monetary expansion would inevitably lead to:
- Soaring Inflation: Rapid price increases for basic commodities and imported consumer goods.
- Foreign Exchange Spikes: Extreme upward pressure on US dollar exchange rates in parallel markets.
- Public Hardship: A steep decline in household purchasing power across island communities.
Urging President Dr Mohamed Muizzu’s government to exercise prudence, Naseem called on the leadership to consult economic experts rather than pushing forward with risky fiscal maneuvers.
The statement follows Thursday’s sudden resignations of three senior Pension Office figures, including Haifa Ahmed, Head of Investments, alongside two management-level employees—adding to prior exits that included the agency’s Chief Executive Officer, Chief Financial Officer, and Board Chairman.
