Thursday 30th Nov 2023
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MP Mohammed Saeed

What is Govt Using Loans for?: Saeed

Parliament representative for Maavashu constituency Mohamed Saeed has inquired what the government is using mortgage loans for.
Saeed, a former Economic Minister, made his statement following a report from Dhiyares revealing that the government is intending to mortgage state land.
Saeed claimed that the government is failing to manage the financial situation, and has resorted to mortgaging citizens' properties.
"The government is failing at managing the financial situation. They have mortgaged the citizens' properties and are deep in debt. This is dangerous. What are they doing with the billions they have acquired in this way?"
An unnamed official from the Ministry of Finance reported to Dhiyares that the Finance Ministry is attempting to mortgage state land for the sale of bonds.
The source did not specify which properties will be mortgaged for the bonds. According to online news Voice, a ministry official claimed that the ministry is planning to mortgage Velaanaage, which houses several government offices, and Olympus. The news outlet also reported that the Finance Ministry has requested the Ministry of Education to transfer ownership of some Male’ schools.
Experts warn that the Maldivian economy may suffer due to the lack of a stable loan repayment system and government credit ratings from Moody’s and Fitch credit rating agencies.