The Ministry of Finance has revealed that the government intends to introduce an Islamic Treasury Bond.
Speaking to PSM News, Minister of Finance Dr. Mohamed Shafeeq said the government aims to introduce the Islamic Treasury Bond by the end of the first quarter of 2024. He said the ministry will continue to focus on developing the capital market in collaboration with the Capital Market Development Authority (CMDA) and the Maldives Stock Exchange. He noted that the Maldives is an Islamic country, and the Islamic T-Bond will provide Islamic investment opportunities.
The first-ever government security was listed on the main board of Maldives Stock Exchange last week. The finance ministry issued a listing of a MVR50 million Treasury Bond in line with the government's medium-term debt management strategy. The listing paves the way for businesses and the general public to buy and sell government securities in the secondary market.
The finance ministry stated that the listing serves as the initiation of active trading of government securities in the secondary market, enhancing the accessibility of government bonds to a broader investor base and also fosters a more dynamic and liquid securities market. The listing of long-term treasury bonds on the Maldives Stock Exchange and the facilitation of trading in the secondary market are important steps taken by the government to further expand and develop the domestic financial market. The government stated that it will continuously work towards the development of the domestic market and plans to issue short-term and long-term securities to the market in the coming days.