President Dr Mohamed Muizzu has said his administration is working to strengthen investor confidence in the Maldives while meeting the needs of citizens and managing the country’s debt obligations, with stronger reserves and the Sovereign Development Fund forming key parts of the strategy.
Speaking on Public Service Media’s Nation Chat programme, Muizzu said his priority since taking office has been to prevent the country from falling into a deeper financial crisis while ensuring essential goods remain available to the public.
The President made the remarks amid concerns over the country’s external debt position and foreign exchange reserves. The IMF said in its 2026 assessment that Maldives’ public debt remained elevated and that risks of overall and external debt distress remained high.
Muizzu said the administration had nevertheless strengthened the country’s reserves, which he said reached USD 1.2 billion in February.
According to the President, subsequent pressures from instability in the Middle East, higher global fuel prices and debt repayments affected the reserve position.
He said the government had continued servicing major external obligations during this period, including payments connected to the Maldives’ USD 500 million Sukuk.
Muizzu said his economic strategy seeks to balance debt repayment with maintaining essential services, reducing living costs and creating conditions that encourage foreign investment.
“My focus is on repaying the debts inherited by the citizens while simultaneously undertaking efforts to enhance the confidence of those investing in the country, fulfil public needs, and reduce the cost of living,” the President said.
He expressed confidence that the impact of the administration’s current economic measures would become more visible over the next six months.
Muizzu also stressed that debt servicing does not depend solely on the country’s foreign exchange reserves, pointing to efforts to strengthen the Sovereign Development Fund as another mechanism for meeting external obligations.
The President’s 2026 Presidential Address similarly highlighted increased allocations to the SDF alongside measures intended to strengthen official reserves and manage sovereign debt.
Major investors eye Maldives
Muizzu said attracting international investment remains another central component of the government’s economic strategy.
The administration has promoted investment opportunities through international forums, including events held alongside the President’s overseas visits, as it seeks investment beyond the Maldives’ traditional tourism industry.
Muizzu said major international investors and companies were showing interest in entering the country, with opportunities being developed across tourism, fisheries and other sectors.
Several large projects have already moved forward.
Project Ayla, a USD 790 million sustainable township development in Noonu Atoll, broke ground in January. The project is being developed under the Special Economic Zones framework and includes hospitality, residential, healthcare, education, agriculture and renewable-energy components.
The government has also reached commercial terms with Abu Dhabi-based Eagle Hills for a major waterfront and marina development at Ras Malé. The proposed integrated development includes hotels, resorts, residences, a marina, retail, restaurants and entertainment facilities.
During Nation Chat, Muizzu also referred to projects involving Google as part of the investment pipeline.
The President said the government expects both major international investors and small and medium-sized enterprises to enter different sectors of the Maldivian economy, arguing that continued investment would help sustain confidence and support economic diversification.
