President Dr. Mohamed Muizzu has announced that the administration will establish mechanisms to settle outstanding debts through the Sovereign Development Fund (SDF), eliminating the need for further borrowing to service debt. The President assured that USD 150 million will be utilized from the SDF this year to repay sukuks issued by the previous administration. He further noted that the remaining balance will be refinanced at interest rates not exceeding 9 percent. With the fund currently exceeding USD 275 million, the government aims to liberate the nation from debt traps and establish a sustainable debt repayment system. Additionally, the President highlighted that concessions have been secured for the debt owed to China and India.
