Maldives and Zambia see improved investor confidence through debt management

In the Maldives, Finance Minister Zareer stated that consistent debt repayments are bolstering investor confidence and improving the nation’s credit rating. The government recently settled a USD 500 million sukuk in April, which included a USD 24.68 million coupon payment made without incurring new loans. So far this year, the Maldives has paid MVR 9.5 billion in debt servicing, with MVR 12.9 billion allocated in the 2026 national budget.

In Zambia, post-election reviews indicate stable investor confidence and an improving credit outlook driven by expectations of political stability and fiscal consolidation. Access Bank Group noted that continued economic reforms could lead to sovereign credit rating upgrades, with Moody’s potentially upgrading Zambia’s Caa2 rating and S&P Global Ratings potentially raising it to B- by 2027. Analysts expect local bond yields to decline due to strong liquidity and reduced political uncertainty, while dollar-denominated bonds remain attractive due to copper-driven growth prospects.