Maldives: Financial System Stability Assessment; and Press Release

Maldives: Financial System Stability Assessment; and Press Release
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Volume/Issue: Volume 2023 Issue 404
Publication date: December 2023
ISBN: 9798400262708
$20.00
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Summary

Maldives is a tourist dependent economy with a small financial sector dominated by state-owned banks. Protracted fiscal and external deficits have raised concerns about debt sustainability and the level of international reserves. Large government funding needs have resulted in a strong sovereign-bank nexus, and rationing of foreign exchange by the Maldives Monetary Authority (MMA) has fueled a parallel foreign exchange market.