Maldives completes USD 150 million debt repayment to India

debt repayment Treasury bills Sovereign Development Fund State Bank of India foreign exchange reserves

The Maldives has completed the repayment of a USD 150 million budget-support facility facilitated by India. The final USD 50 million installment was settled on September 17, 2026, clearing the total liability consisting of three Treasury bills subscribed by the State Bank of India (SBI).

The facility originated in 2019 under the administration of former President Ibrahim Mohamed Solih. The current administration of President Dr. Mohamed Muizzu settled the debt in three stages: January 2024, May 2026, and September 2026. India’s Ministry of External Affairs noted that while the Maldives paid the principal, the Indian government absorbed approximately USD 45 million in interest costs over the five-year period as part of its ‘Neighbourhood First’ policy.

The Maldives Ministry of Finance clarified that the final payment was funded through the Sovereign Development Fund (SDF) rather than public deposits held at the Bank of Maldives, following social media allegations to the contrary. Despite the repayment, the Ministry stated that arrangements are in place to ensure foreign currency remains available for essential imports such as food, fuel, and medicine. Official reserve assets stood at USD 643.8 million at the end of August 2026.

Entities

First Lady of Maldives · Ibrahim Mohamed Solih · India · Maldives · Maldives Girl Guides Association · Maldives Ministry of Finance · Maldives Monetary Authority · Ministry of Finance and Public Enterprises · Mohamed Muizzu · State Bank of India

Claims

What the coverage asserts, and how many sources carry each claim.

[● 3 SOURCES] The financing originated in 2019 under the administration of former President Ibrahim Mohamed Solih. byline.mv · corporatemaldives.com
[○ 1 SOURCE] Usable reserves decreased by 9.6 percent between July and August 2026, falling from USD 221.9 million to USD 200.6 million. corporatemaldives.com
[○ 1 SOURCE] The current administration has spent approximately USD 1.3 billion on debt repayments.
[● 2 SOURCES] The State Bank of India (SBI) subscribed to three USD 50 million Treasury bills with support facilitated by the Indian government. byline.mv · corporatemaldives.com
[● 2 SOURCES] Official reserve assets were USD 643.8 million at the end of August 2026. byline.mv · corporatemaldives.com
[● 3 SOURCES] The final USD 50 million payment was settled on September 17, 2026. byline.mv · corporatemaldives.com
[● 3 SOURCES] The Maldives has fully repaid a USD 150 million budget-support facility. byline.mv · corporatemaldives.com