The Maldives Trade Association (MTA) raised concerns on Thursday over the deepening economic challenges facing the country, warning that the situation is deteriorating day by day.
In a press release, the MTA said the Maldives’ economy is on the brink of bankruptcy, but government officials have ignored numerous warnings. The association called for transparency and immediate reforms.
“The Maldives’ debt has crossed the economic red line. Every day we rely on external financial support, and each month we question whether we can meet our salary obligations,” the statement read.
The MTA expressed concern that, despite the looming economic crisis with small and medium enterprises (SMEs) going bankrupt and citizens facing hardships, the government continues to paint a misleadingly positive picture of the situation.
“The current state of the economy is being hidden from the public, and senior officials are portraying an unrealistic outlook for the future,” the MTA said, accusing policymakers of failing to acknowledge the gravity of the crisis.
The association called on President Dr Mohamed Muizzu to provide a clear account of the country’s financial situation to the public. It urged the government to curb wasteful spending, reduce political appointments, and address corruption within state institutions.
The MTA also urged the government to engage in dialogue with business associations and political parties to address the struggles faced by SMEs and to implement solutions to revive the economy.