Maldives’ credit rating is in ruins: Ghafoor

Acting Chairperson of the main opposition Maldivian Democratic Party (MDP), and MP for Hanimaadhoo constituency Abdul Ghafoor Moosa, has declared that the archipelago nation’s economic situation has worsened dramatically, asserting that President Dr. Mohamed Muizzu’s administration is unlikely to deliver any development under the current circumstances.

Ghafoor highlighted that during the MDP administration, the country endured significant global challenges, including the economic downturn caused by the Covid-19 pandemic, yet citizens were able to live with relative comfort and stability.

In contrast, he described the current situation as one of severe public distress, with the Maldivian economy facing a critical crisis and the nation’s credit rating effectively in ruins. He emphasized that under these conditions, the current government lacks the capacity to bring about meaningful development.

Ghafoor further accused the administration of deceiving the public, portraying it as primarily engaged in spreading falsehoods while ignoring the country’s true economic state. He alleged that the government is attempting to mislead the public under various pretexts to print money, framing this as a move that facilitates corruption. He urged citizens to remain vigilant and warned against allowing such opportunities for malpractice to the main ruling People’s National Congress (PNC).

Amid growing concern over the Maldives’ economic position, the rating agency Fitch recently downgraded the country’s credit rating to junk status, citing a high risk of debt default. Fitch set the Maldives’ rating at ‘CC’, noting that this reflects heightened external financing risks and increased fiscal vulnerabilities, with a significant probability of default within the rating’s timeframe.