Maldives has transferred over USD 65 million to the sovereign development fund (SDF) in the first seven months of the year, the Ministry of Finance and Planning figures have shown.
According to the Weekly Fiscal Development Report released by the Ministry, USD 76.5 million has been transferred to the SDF by the end of July, which is an increase of 51.6 percent from the USD 51 million during the same period last year.
The surge in SDF transfers was recorded despite an increase in debt repayments compared to last year.
The government has spent USD 227 million on loan repayments so far this year - an increase of 127.8 percent from the USD 104 million over the same period last year.
The SDF established in 2016 is designed to help repay foreign loans and strengthen the country’s financial reserves.
It is funded through various sources, including airport development fees, dividends from state-owned enterprises, and sovereign guarantee fees.
The fund's purpose is to ensure fiscal responsibility, build investor confidence, and provide a financial cushion during economic downturns.