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Finance Minister: Failure to secure foreign aid could result in economic shock

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Finance Minister Dr. Mohamed Shafeeq told the Parliament’s Budget Committee on Monday that the new administration is working hard on securing USD 200 million in foreign aid Maldives is projected to receive before the end of the year, but warned that failure to secure the funds could result in economic shock.

Maldives has not received foreign aid to the level projected in the budget in recent years. The country has not received 80 percent of the foreign aid projected for this year.

Maldives Monetary Authority (MMA) has advised the government to secure the USD 200 million in projected foreign aid for this year as soon as possible, and to secure the USD 550 million in projected foreign aid for the next year as early on in the year as possible.

In a meeting with the Parliament’s Budget Committee on Sunday afternoon, Shafeeq said that President Dr. Mohamed Muizzu, during meetings with foreign diplomats who visited Maldives to attend his inauguration last weekend, asked for help in budget support.

He said that while many of the countries gave positive responses, nothing has actualized yet.

“We received very positive responses from some of the countries. But I cannot say for certain. We are looking at securing a good inflow as soon as possible in the remaining two months. We have to target securing an inflow of over USD 200 million,” he said.

“If we are unable to secure it, then, as the previous governor also mentioned, an economic shock is possible.”

Shafeeq said the administration needs to consider suspending some of the projects due to the economic situation.

He said that the administration is reviewing projects, and cannot initiate projects that funds haven’t been allocated for yet.

MMA has also advised that it is crucial to secure foreign financing in order to maintain state reserves and provide state-owned enterprises with needed foreign currency.

The central bank urged the government to take fiscal consolidation measures as soon as possible, citing the high probability of being unable to secure the needed foreign currency inflow.

Fiscal consolidation measures proposed for next year includes replacing the indirect subsidies on electricity, fuel, staples and sanitation with targeted subsidies, based on income and living conditions; linking spending on Aasandha to a targeted system, and bulk procurement of medical consumables.

Source(s): sun.mv

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Minister of Islamic Affairs to attend the OIC Summit as the President’s Special Envoy

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The Minister of Islamic Affairs, Dr Mohamed Shaheem Ali Saeed, will attend the 15th session of the Islamic Summit of the Organisation of Islamic Cooperation (OIC), which begins tomorrow, as President Dr Mohamed Muizzu’s Special Envoy.

The Minister of Islamic Affairs is scheduled to address the 15th session of the Islamic Summit of the Organisation of Islamic Cooperation (OIC) as the President’s Special Envoy, which begins tomorrow, at Banjul, The Gambia. His address will be broadcast on television.

The Islamic Summit of the OIC, held once every three years, brings the leaders of the Islamic nations together to deliberate, take policy decisions, and provide guidance on issues pertaining to the Ummah as outlined in the OIC Charter.

The 15th Session of the Islamic Summit of the Organisation of Islamic Cooperation (OIC) will take place in Banjul, The Gambia, from May 4–5, 2024, under the theme “Enhancing Unity and Solidarity through Dialogue for Sustainable Development.”

Source(s): Presidents Office

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Vice President pledges govt’ support for journalists welfare

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Vice President Hussain Mohamed Latheef has emphasised President Dr. Mohamed Muizzu’s administration’s steadfast commitment to supporting journalists, addressing their needs and aspirations.

In an interview with PSM news on its 7th anniversary and in commemoration of World Press Freedom Day, Vice President Hussain Mohamed highlighted the administration’s awareness of the challenges faced by journalists, noting President Muizzu’s proactive engagement with them upon assuming office.

Furthermore, Vice President stressed the importance of public trust in the current administration’s ability to effectively address journalists’ concerns, particularly on World Press Freedom Day. He further reiterated that while journalism may not be explicitly delineated in the constitution, it serves as the country’s “fourth power” and urged responsible reporting avoiding misleading information, anticipating positive societal changes with these efforts.

In support of journalist’s financial independence, Vice President confirmed the formulation of a policy allocating a specific percentage of the state budget to them and the resolution of land plots for establishing a special media village.

Additionally, Vice President met with PSM news employees.

Source(s): PsmNews

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Maldives slips six ranks in World Press Freedom Index

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World Press Freedom Index is an annual ranking of 180 nations – compiled by Reporters Without Borders (RSF) – based on the level of freedom enjoyed by journalists and media personnel in those nations.

Maldives, which ranked 100 in the WPFD last year with a score of 56.93, has dropped down 106th, scoring 52.36. This marks a slip from the classification of nations where its ‘Problematic’ to practice journalism to nations where its ‘Difficult’ to practice journalism.

RSF has attributed the ratification of the Evidence Bill into law including the provision which allows courts to compel journalists to disclose their sources in some circumstances as the main reason for the drop in the rank.

RSF utilizes five indicators in compiling the WPFI. Maldives have been scored as follows in the respective fields:

  • Political indicator: 109th place with 43.48. This accounts to a drop of 12 ranks as Maldives placed 97th with 53.75 last year.
  • Economic indicator: 133rd place with 36.04. This accounts to an increase of 28 ranks as Maldives placed 161st last year with 32.84. It is the only indicator in which Maldives improved its score.
  • Legislative indicator: 111th place with 54.42. This accounts to a drop of 13 ranks as Maldives placed 98th last year with 59.01.
  • Social indicator: 131st with place with 48,10. This accounts to a drop of 7 ranks as Maldives placed 124th last year with 55.68.
  • Security indicator: 80th place with 79.79. This accounts to a drop of 23 ranks as Maldives placed 57th last year with 82.48.

Notably, Maldives placed 87th in the WPFD in 2022; classified as a nation where it is “Satisfactory” to practice journalism.

Source(s): sun.mv

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