The World Bank approved a US$68 million project to improve the competitiveness of the Maldives fisheries sector.
“The project will build national capacities, skills, and regulations to improve the governance of the fisheries sector,” according to the World Bank. “The longer-term aim is for Maldives to serve as a regional enabler that provides knowledge and capacity-building support to the [South-West Indian Ocean] region, particularly the island nations. The project will also pursue green, resilient, inclusive enterprise development practices to expand and diversify the fisheries and allied sectors, including, for example, the gradual removal of barriers to a competitive business climate in Maldives and facilitating learning in the fisheries sector in SWIO countries.”
Earlier in the week, the World Bank also approved a a US$15 million project to “to help the government enhance private participation in select [state-owned enterprises], improve the way these enterprises are governed, and reform their public service obligations and subsidies” and to “help make Maldives’ private SMEs more competitive by improving digital financial systems to make it easier for them to access commercial loans, and assisting selected innovative and capable SMEs to enhance their growth trajectory and develop new and climate-friendly products to compete in new markets.”
Customs collected MVR305 million (US$19.7 million) as revenue in April, down 16% from the same month last year as imports declined by 4%. But exports were up 4% from last April.
With financing secured from the Kuwait Fund, the health ministry signed contracts to develop 30-bed hospitals on seven islands (Haa Dhaal Hanimaadhoo, Shaviyani Milandhoo, Noonu Velidhoo, Kaafu Thulusdhoo, Alif Dhaal Maamigili, Vaavu Felidhoo, and Thaa Vilifushi).
The finance ministry signed an MoU with the Islamic Development Bank for a US$40 million project to establish an SME Impact Fund.
Nominal GDP will cross the MVR100 billion (US$6.4 billion) mark for the first time, according to Finance Minister Ibrahim Ameer. “This is a testament to the sound macroeconomic policies adopted by the government to achieve steady growth regardless of the multiple crisis we face,” he said.
But critics noted that nominal GDP growth reflects the rise in prices rather than productivity growth.
Bolstered by increasing tourist arrivals (up 17.5% from last year), the real GDP growth projection for 2023 was revised upwards from 7.6% to 9.4%. The government’s forecast for tourist arrivals this year was also revised from 1.8 million to 1.9 million.
