President Dr Mohamed Muizzu has announced that the government will clear all outstanding payments owed to Maldivian businesses and state-owned enterprises within the next five weeks. The announcement, shared via his official X account, comes amid growing concerns from the private sector over prolonged delays in payments.
The President stated that all bills submitted in accordance with the relevant laws and regulations for completed work would be processed and settled within the stipulated timeframe. This includes obligations owed both by the government and state-owned companies.
He described the settlement of these payments as an important step toward revitalising the economy, restoring confidence, and stabilising public finances. The President noted that his administration inherited a substantial backlog of unpaid invoices and reiterated the government’s commitment to addressing these outstanding obligations.
The issue of delayed payments has been a longstanding concern among local businesses, many of which have warned that the mounting backlog has placed severe pressure on their operations. The government’s pledge to clear these dues is therefore being closely watched by the private sector as a signal of financial stability and renewed accountability.
In recent statements, President Muizzu has maintained that the economy is on a steady path to recovery, with continued efforts to address both domestic and external debt without resorting to excessive money printing.
The Maldives faces significant fiscal challenges, with approximately USD 500 million in debt repayments due this year and around USD 1.1 billion expected in 2026. Clearing pending domestic payments, analysts note, will be a crucial measure in easing pressure on local businesses and reinforcing trust in the government’s fiscal management.
