The Ministry of Finance and Public Enterprises has denied claims that the USD 50 million Treasury Bill (T-bill) recently repaid by the government was settled using deposits held by members of the public at the Bank of Maldives (BML).
The Ministry said the reports alleging that the T-bill was repaid using funds deposited by members of the public at BML are completely untrue.
According to the Ministry, the USD 50 million T-bill, which was obtained through the State Bank of India (SBI) in 2019, was repaid using funds that had been set aside for the payment and were being deposited into the Sovereign Development Fund.
The government originally secured the financing through SBI in 2019 to support the state budget. The facility was divided into three separate USD 50 million Treasury Bills.
The first USD 50 million was obtained on March 17, 2019, followed by another USD 50 million on June 26, 2019, and the third USD 50 million on October 1, 2019.
The repayment period for the debt began in 2020 and was subsequently deferred by the government at the time until 2023.
President Dr Mohamed Muizzu announced at a meeting with journalists held at the President’s Office on May 11 this year that the USD 50 million T-bill, which was due to mature on September 17, would be repaid on its scheduled maturity date.
The Finance Ministry further stated that the government continues to prioritise prudent and strategic management of public debt.
It added that the government regularly makes the required contributions to the Sovereign Development Fund and is ensuring that the necessary financial arrangements are made well in advance of debt repayment deadlines
