The state's foreign debt stood at MVR 51.1 billion by the end of last year, former Finance Minister Ibrahim Ameer has said.
Ameer said in a post on X that the external debt includes loans of MVR 37.8 billion directly obtained from foreign parties by the state and MVR 13.7 billion worth of loans taken with sovereign guarantees.
The country will continue to function despite changes in government, Ameer said, adding that the previous government (former President Ibrahim Mohamed Solih's administration) also inherited unpaid bills worth billions when the government changed in 2018 but went forward without talking about it.
Ameer's statement came in response to President Dr. Mohamed Muizzu saying yesterday that the country's foreign debt stood at MVR 120 billion by the end of the previous government's term.
Speaking at a rally in Gaaf Dhaal Faresmaathoda, the President said the previous government also owed MVR 9 billion at the end of its term to local small businesses for work contracted by ministries and state-owned companies.
However, the figure revealed by the President was MVR 2 billion more than the figure provided by Economic Minister Mohamed Saeed on January 24.
President Muizzu said previously that he acknowledges the debt situation facing the country and pledged not to launch unrealistic development projects on islands ahead of the upcoming parliamentary elections.
