News Desk
The government says it has met the most critical components of its April 2026 repayment schedule and remains in negotiations with India on extending the USD 400 million currency swap, a key short term financing line for the country.
April is one of the heaviest repayment months in the Maldives’ history, with obligations of about USD 1 billion. This includes the USD 500 million sukuk, which the government has already settled, and facilities from the Abu Dhabi Fund that have now been rolled over. The remaining major item is the USD 400 million swap with India.
Speaking to Etruth, Chief Government Spokesperson Mohamed Husain Shareef (Mundhu) said the administration appreciates India’s past financial support and continues to regard India as an important development partner. He said discussions on the rollover of the USD 400 million swap are ongoing and that the Finance Minister is hopeful for a favourable outcome.
“We are confident based on India’s past assistance and its role as a key development partner,” he said.
According to reporting by The Economic Times, the Maldives has relied significantly on Indian support in recent years. India extended a USD 400 million currency swap in October 2024, rolled it over twice despite strict conditions, and allowed the rollover of two interest free USD 50 million Treasury Bills in 2025. These were described as exceptional steps for a neighbouring country.
On the sovereign credit rating, Mundhu said the matter remains under review by international agencies. He said ratings are updated periodically and that no new action has been issued since the sukuk repayment.
Moody’s currently rates the Maldives at Caa2 with a negative outlook. The rating has remained unchanged through 2024 and 2025, and the agency has not yet released an update following the April repayment. Fitch maintains the Maldives at CC, a level where outlooks are not typically assigned. Fitch has also not issued a new rating action since the sukuk was settled.
Mundhu said agencies may still be assessing the impact of the repayment and other financing developments, and that the government continues to engage with them as part of the regular review cycle.
