Green Tax, FHAM 2022, China Debt

Friday, September 2

Bank of Maldives concluded its 12-month Graduate Internship Programme and announced continuation for the fourth year with 15 new graduates and students from local higher education institutions.

“The 12 month internship program allows students to gain on-the-job experience and provide a pathway to permanent employment within the bank and other financial institutions in Maldives,” according to the bank. “Interns will be rotated across a number of business units, departments and branches to gain experience and develop skills. Each intern is assigned to a mentor to guide them through their time at the bank.”

Friday, September 2

Thursday, September 1

QR ticketing was introduced for buses operated in Malé, Laamu Atoll, Fuvahmulah and Addu by the Raajje Transport Link, a subsidiary of the state-owned Maldives Transport and Contracting Company.

A QR code issued for tickets purchased online through the RTL app or website can be scanned on the bus.

The bus service remains free for the elderly, disabled persons, children under the age of three, and students in uniform.

RTL is planning to launch its minibus service in Malé on Monday.

On Tuesday, RTL expanded its ferry service to Shaviyani atoll, the first phase of an MVR800 million (US$51.8 million) project to establish a nationwide ferry network with purpose-built speedboats.

Thursday, September 1

Yousuf Siraj, former deputy managing director of the Waste Management Corporation, was promoted to managing director.

Former WAMCO boss Adam Mohamed was appointed as the managing director of the Maldives Post Ltd in March.

The privatisation and corporatisation board also announced the appointment of Khalid Sulaiman to the Housing Development Corporation’s board of directors to replace outgoing MD Suhail Ahmed.

Wednesday, August 31

The Maldives ranks third among countries with the highest external debt to China as a percentage of GDP (US$1.4 billion or 38% of total debt owed to foreign lenders), local media reported, citing an analysis by Forbes.

“Chinese loans to developing nations have higher interest rates than bilateral loans from Paris Club countries or international institutions like the International Monetary Fund or The World Bank and also have shorter repayment windows,” according to the financial magazine. “Their setup is therefore closer to commercial loans concerning their conditions of repayment and confidentiality but also their objectives of funding very specific infrastructure projects instead of pursuing more generalised developmental goals.”

Wednesday, August 31

Tuesday, August 30

Changes proposed to the tourism law were introduced at parliament. The amendments seek to clear up confusion over the collection of green tax, which is levied at rates of US$3 per day from tourists who stay at guesthouses and US$6 per day from tourists at resorts, hotels and safari vessels.

Changes made to the law in July to apply the US$6 per day rate for guesthouses with more than 50 rooms stated that green tax collection would come into force in January 2023. Some lawyers interpreted the provision to mean that the tax could not be taken at all until January. The revisions would remove the ambiguity. After the first reading at Tuesday’s sitting of parliament, the bill is likely to be put up for debate in September.

Green tax receipts amounted to US$39 million as of July.

Tuesday, August 30

Monday, August 29

Bank of Maldives signed an MoU with the Indira Gandhi Memorial Hospital to provide MVR3.5 million (US$226,977) in financing to establish a dedicated oncology ward at the government hospital.

“Our 40th anniversary initiatives have focused on a number of important sectors in the country and today we are delighted to announce our support to fill a critical need in the health sector. This project will see the establishment of a dedicated ward for cancer patients and we hope it will enhance access to safe and high-quality oncology services to those in need,” said BML’s In-charge and Acting MD, Aishath Noordeen.

Monday, August 29

The annual inflation rate for food and beverages hit 6% in July as the monthly change in the Consumer Price Index moderated from 0.45% in June to 0.15% in July. The CPI rose by 2.48% from July last year, down from a rise of 5.19% in June 2022.

“The main contributor to this rise was the increase in prices of carrot (+35.85%), cooking oil (+8.11%), mango (+14.70%), onion (+5.80%), canned fish (+1.79%), frozen chicken (+1.53%), bananas (+6.65%), milk powder (+0.66%), tuna (+0.35%), and eggs (+1.21%). This increase was partially off- set by the fall in price of papaya (-5.44%), raw arecanuts (-1.42%), coconut (- 2.60%), young coconut (-5.01%), green chilli (-4.08%), smoked fish (- 2.01%), lime (-2.70%), fish paste (-1.70%), lettuce (-17.41%) and cucumber (-20.13%),” according to the statistics bureau.

Sunday, August 28

Vice President Faisal Naseem inaugurated the ‘Food and Hospitality Asia Maldives 2022’ at the Hulhumalé Central Park, as the largest annual event of the Maldives tourism industry returned after a two-year hiatus forced by the Covid-19 pandemic. As in previous years, the International Culinary Challenge was held concurrently with the three-day trade fair.

More than 100 exhibitors from 30 countries showcased over 10,000 products, according to the event organiser, which aimed to connect buyers from over 100 resorts with suppliers and service providers from top local and global companies.

Sunday, August 28

A hefty fine was introduced for unauthorised dewatering or pumping out groundwater for construction or industrial work. According to amendments made to regulations by the environment ministry, a fine of MVR40,000 (US$2,594) would be imposed per day up to a limit of MVR1 million.

Photo from Project Solutions