Finance Minister Moosa Zameer has expressed concerns over the government's plans to take a loan at a high interest rate to refinance sukuk.
Reliable sources told Adhadhu that Zameer had raised concerns in several meetings and in the presence of several government officials.
"Zameer said it is a big crime," a government official who attended a meeting with the Finance Minister told Adhadhu.
"Zameer said that borrowing at 14 percent interest is a crime. It is a huge mistake in the interest of the people. No matter how nicely branded, it is a mistake."
Sources earlier told Adhadhu that the government is close to finalizing a USD 300 million loan from Cargill Financial Services International (CFSIT).
This is being done to repay the USD 500 million loan, which matures in April this year. The state budget does not have the financial capacity to repay the loan.
Despite concerns from financial experts and opposition figures, the government has yet to disclose details of the plan to refinance the sukuk.
Last year, President Mohamed Muizzu said the government would pay the sukuk. Zameer had also told parliament that the loan would be repaid.
