Male, Nov 1 (FN Agency) The Maldives has projected MVR 2.2 billion (USD 142 million) in grants from friendly nations in the budget presented to Parliament for the upcoming fiscal, with the largest portion of 1.6 billion MVR (USD 104 million) coming from India. India’s 1.6 billion MVR accounts for over 72 percent of the total foreign grants expected by the Maldives. China will be the second largest contributor giving over 502 million MVR (USD 32 million), or 22 percent of the total grants. The estimates were provided by the proposed State Budget 2025 given to the island nation’s Parliament on October 31, according to oneonline.mv. In addition, the Maldivian government expects to receive grants from other friendly nations such as Japan, Pakistan, Saudi Arabia and the Netherlands.
According to the proposed budget, around MVR 336 million will be received as grants from international organisations. During President Mohamed Muizzu’s visit to India last month, India announced a $400 million currency swap agreement as well as $360 million financial assistance. Earlier this year, India came to the assistance of the Maldives by agreeing to rollover the Treasury Bills subscribed by the State Bank of India amounting to $100 million. The public debt of the Maldives is about $8 billion, including about $1.4 billion it owes each to China and India. Its foreign exchange reserves stood at about $440 million in September, just enough for one-and-a-half months of imports.