The Maldives Airports Company Limited (MACL) has announced that the upcoming Air Service World Congress 2024, scheduled for July 9, will significantly boost the tourism industry of the Maldives.

The Air Service World Congress is a major platform for international representatives from the route development community to discuss the future of global air service growth and development. This year’s event will take place from July 9 to July 11 in Kurumbaa Maldives and is organised annually by Global Travel Investment. A total of 150 representatives from various airlines, including local airlines, are expected to participate in this grand event.

Speaking on a programme aired on PSM News, General Manager of MACL’s Communication and Media Department Haamidh Huzam stated that local stalls will be set up at the conference. He added that the congress will play a pivotal role in boosting economic activity, providing a unique experience for participants to see photos and videos of the Maldives and explore the country firsthand. Huzam expressed confidence that the congress will pave the way for the growth of the nation’s tourism industry, though he noted that the benefits might be gradual.

Huzam also highlighted that the Air Service World Congress will offer an opportunity to promote the Maldives’ aviation landscape and brand. He pointed out that air transport services in the Maldives initially commenced in response to increasing demands in tourism. Currently, approximately 40 airlines fly to the Maldives, and Huzam mentioned that welcoming more airlines would enhance the nation’s connectivity and facilitate collaboration with different regions.

Velana International Airport (VIA) was announced as the official host of the event, following the successful conclusion of the Air Service World Congress 2023 in Oakland, San Francisco Bay Area. Since its inception in 2010, the congress has been held in several countries, including the United States, the United Kingdom, and Dubai.

Source(s): PsmNews

Maldives Industrial Fisheries Company (MIFCO) on Sunday, announced its decision to update fish purchasing rates on a weekly basis.

MIFCO in a statement on Sunday said, purchasing fish from local fishers without referring to market rates, was not financially sustainable for the company’s fish processing and export activities.

The company incurs more expenditure, which include paying to fishers, and cost of processing and sales, compared to its earnings after selling the products in global markets.

Owing to continued deficits, MIFCO generally acquired cash injections through loans and government support.

MIFCO’s decision to shift to fluctuating prices based on market rates, it said is aimed towards achieving a permanent solution, and said the changes will be effective from Monday, July 01st onward.

The purchase rates of MIFCO will based on present market rates and export costs, with the prices reviewed on a weekly basis.

MIFCO also assured to pay the remaining outstanding total to local fishers on Monday, after which state would have settled MVR 353 million to fishers so far in 2024.

“Besides this, MIFCO has paid another MVR 389 million for fish sold, while it has dibursed a total of MVF 831 million inclusive of fuel and ice credit,” MIFCO’s statement read.

MIFCO’s announcement after the decision was revealed at the Public Accounts Committee of the parliament last Wednesday, where Minister of Finance Dr. Mohamed Shafeeq assured to price reviews will be discussed at the next Economic Council meeting.

With delays in settling the pending total to fishers, an emergency motion was submitted last week to the parliament seeking an expedited solution for the issue.

Source(s): sun.mv

Fitch has downgraded Maldives’ credit rating, citing obstructions to repay debts.

In this regard, Fitch downgraded Maldives’ Long-Term Foreign-Currency Issuer Default Rating (IDR) to ‘CCC+’ from ‘B-‘.

Fitch attributed the downgrade risk associated with rising external debt coupled with weakening foreign reserves, external financing and liquidity metrics.

They detailed that Maldives’ foreign reserve, which stood at USD 748 million in May last year, had decreased to USD 492 million by May of this year.

Meanwhile, it was noted that the government has USD 233 million in sovereign external debt-servicing obligations and USD 176 million in publicly guaranteed external debt-servicing obligations due in 2024.

Fitch forecasts external debt servicing will climb to USD 557 million in 2025 and exceed USD 1.0 billion in 2026, including repayment of a USD 500 million Sukuk, which will intensify pressure on the government’s external liquidity.

Nevertheless, Fitch expects the government to rely on bilateral and multilateral financing support and the general state debt to rise to 117.6% of GDP in 2026 from an estimated 109.4% in 2023 – which is more than double the projected median for other ‘B’ category nations.

Fitch is amongst the biggest three credit ranking agencies in the world. Maldives was first ranked by the agency in 2016.

A credit rating is an evaluation of the credit risk of a prospective debtor predicting their ability to pay back the debt, and an implicit forecast of the likelihood of the debtor defaulting.

Source(s): sun.mv