Military Space News
SUPERPOWERS
IMF warns of Maldives foreign debt crisis, after China borrowing
IMF warns of Maldives foreign debt crisis, after China borrowing
by AFP Staff Writers
Colombo (AFP) Feb 7, 2024

The strategically-placed Indian Ocean nation of the Maldives, which has borrowed heavily from China and shifted allegiance from India, is at high risk of "debt distress," the IMF warned Wednesday.

Beijing has pledged more funding for the Maldives since pro-China President Mohamed Muizzu took power in November.

Muizzu thanked China last month for its "selfless assistance" for development funds after a visit to Beijing.

The International Monetary Fund did not give details of the Maldives' foreign debt but said there was a need for "urgent policy adjustment".

"Without significant policy changes, the overall fiscal deficits and public debt are projected to stay elevated," the IMF said after a review of the country's economy.

"The Maldives remains at high risk of external and overall debt distress".

The archipelago, famed for its white sand beaches and where tourism accounts for nearly a third of the economy, has recovered economically from the Covid-19 pandemic.

But while a planned airport expansion and an increase in hotels are projected to boost growth, the IMF said "uncertainty surrounding the outlook remains high and risks are tilted to the downside."

Muizzu's mentor, former president Abdulla Yameen, who ruled for five years until 2018, borrowed heavily from Beijing for construction projects.

That left it owing 42 percent of its more than $3 billion foreign debt to China in 2021, according to the World Bank, citing the Maldives' finance ministry.

Muizzu, who has requested that Indian troops operating three reconnaissance aircraft in the Maldives leave by May 10, has vowed to strengthen his military to defend the country's vast maritime territory.

Global east-west shipping lanes pass through the nation's chain of 1,192 tiny coral islands, stretching around 800 kilometres (500 miles) across the equator.

Related Links
Learn about the Superpowers of the 21st Century at SpaceWar.com
Learn about nuclear weapons doctrine and defense at SpaceWar.com

Subscribe Free To Our Daily Newsletters
Tweet

RELATED CONTENT
The following news reports may link to other Space Media Network websites.
SUPERPOWERS
Maldives vows to boost defences after telling Indian troops to leave
Male, Maldives (AFP) Feb 5, 2024
The small but strategically placed Maldives will strengthen its military to defend its vast maritime territory, the new president vowed Monday after ordering Indian troops to withdraw from the archipelago. Mohamed Muizzu said in his first address to parliament he would turn the modest Maldivian National Defence Force (MNDF) into a modern military capable of patrolling its seas, which straddle key global shipping lanes. The pro-China leader reiterated that India will begin withdrawing its troops ... read more

SUPERPOWERS
THAAD Localization Efforts Align with Saudi Vision 2030 Objectives

Northrop Grumman Advances Homeland Defense with Early NGI Milestone

U.S. hits two more Houthi missiles in ninth Yemen attack

MBDA secures contracts to fortify Royal Navy's against ballistic threats

SUPERPOWERS
Russia has launched North Korean missiles at least 9 times in Ukraine: U.S. diplomat

US strikes five missiles in Yemen: military

NKorea's Kim oversaw test of cruise missiles launched from submarine: state media

North Korea tested new submarine-launched cruise missile

SUPERPOWERS
Iraq condemns U.S. drone strike as 'clear aggression,' violation of sovereignty

US vows decisive response to deadly drone attack in Jordan

AFWERX and Xwing Showcase Autonomous Flight Capabilities with Cessna 208B

US downs drone off Yemen, strikes uncrewed surface vessel

SUPERPOWERS
Space Force initiates MUOS Service Life Extension with Lockheed Martin design contract

Government Connectivity Enters New Era: MetTel and Partners Highlight LEO Satellite Solutions

General Atomics to Showcase Optical Communication Terminals in Space with SDA Contract

L3Harris Technologies showcases Waveform X capabilities in live flight demonstration

SUPERPOWERS
The US 'can and will' deliver more Ukraine aid: top advisor

Ukraine urges EU to speed up artillery shell supplies

Curtiss-Wright Unveils New Rugged SFF Mission Computer for Harsh Environments

Ukraine calls for 'urgent' military help after fresh Russian strikes

SUPERPOWERS
EU foreign affairs chief Josep Borrell visits Ukraine after bloc approves $54B in aid

Russia stops Ecuador banana imports after US arms deal

House fails to pass GOP-led Israel aid bill

Defense Department lists dozens of Chinese military companies operating in U.S.

SUPERPOWERS
Hungary ruling party holds up Swedish NATO bid vote

Maldives vows to boost defences after telling Indian troops to leave

IMF warns of Maldives foreign debt crisis, after China borrowing

Meeting NATO, Blinken warns Ukraine gains in doubt if no US aid

SUPERPOWERS
MIT.nano equipment to accelerate innovation in "tough tech" sectors

Subscribe Free To Our Daily Newsletters




The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us.