President Dr. Mohamed Muizzu has waived all interest accrued on loans issued by the previous administration during the COVID-19 pandemic. Speaking at a ceremony in Fonadhoo, he highlighted the challenges faced by people during the pandemic, leading many to rely on loans to meet their needs.
President Muizzu also revealed that the SME Development Finance Corporation (SDFC) had loaned to many, but interest remains unpaid, citing the previous government's unfulfilled promise to forgive it. Stressing the substantial rise in interest on Covid loans, he emphasized the burden on those unable to pay, underscoring the government's decision to waive the interest. Applications for this relief will be facilitated after the Eid al-Fitr holidays, with President Muizzu urging the public to apply for support.
Additionally, President Muizzu resolved to exempt all interests on loans issued by SDFC, noting the significant increase in interest rates while borrowers have been granted a moratorium on loan repayment.
Furthermore, he reiterated the government's commitment to addressing public needs since his inauguration, pledging not to defer any work for future electoral campaigns. The government policy aims to achieve self-sufficiency in the Maldives by alleviating the burden on its citizens through avoiding money printing, repaying foreign debt, and settling debts owed to domestic firms simultaneously.
President Muizzu highlighted the transformation of state-owned entities from heavily indebted to financially independent and self-sustaining. He affirmed that these efforts are sincere, emphasising the need for a collaborative and cooperative parliament to support people effectively.