Policies of current gov't will lead to successful economic recovery, says President Solih

The economic policies of the incumbent administration will lead to the successful recovery of the economy of Maldives, says President Ibrahim Mohamed Solih.

The President made this statement during his remarks at the ceremony held to celebrate Malé Water and Sewerage Company Pvt Ltd (MWSC)’s 27th anniversary, held in CROSSROADS Maldives on Wednesday.

Taking the podium at the event, the President expressed confidence in his “sound” fiscal measures and economic policies, which he said would pave the way to positive economic revival.

Highlighting that the economy of Maldives is currently being impacted by the Covid-19 pandemic as well as the Russia-Ukraine conflict, the President said that his administration is reprioritizing its development initiatives and implementing strict measures to counter the effects of the events that are currently distressing the global economy, severely.

The President also stressed that the ongoing crisis in Ukraine has led to a drop in tourist arrivals to the Maldives, from one of its top markets , resulting in a fall in the income. He said the war also led to a rise in global fuel prices, inflation, as well as the administration’s expenditure on subsidies and imports.

However, the President assured that he will not take any steps that would compromise the country’s economy.

In this regard, he detailed the reasons behind the decision to recall its proposed bill to lower tourism land rent, explaining that the decision followed inclusive deliberations of the Economic Council, which found it “ill-advised” to pursue such measures in light of the current situation.

Despite the obstructions, the President noted that a positive trajectory is expected with an increase in tourist arrivals to match earlier projected income.

With this being said, President Solih assured the people that debt servicing is on track for the period between 2023-2024.

Shedding light on the achievements MWSC has made under the incumbent administration, the President recalled that 70 percent of the country lacked proper drinking water and sewerage networks at the time the administration took office in November 2018.

When he assumed office, he had taken a pledge to establish water and sewerage networks on all inhabited islands during his term. This, the President said will bring significant improvements to the quality of life.

The President also highlighted that clean drinking water will lower the risk of waterborne diseases and pave the path for healthier lives, at the same time resolving drinking water shortages and allowing the administration to reprioritize funds to focus on other essential requirements.

Shedding light on the rising concerns over endless environmental issues, the president highlighted the significance of seeking methods of utilizing renewable energy sources to harvest water.

Adding that the administration’s water and sewerage network projects would be conducted in an environment-friendly manner, the President noted that MVR 836 million from the MVR 1.5 billion earmarked in the budget for 2022, for environmental protection is utilized to develop water and sewerage networks.

Wednesday’s ceremony also saw awards presented to the recipients of the “Chairman’s Award for Excellency” by President Solih.

Vice President Faisal Naseem, who also took part in the event, conferred awards to the recipients of the “Unique Performance Award”.