The Maldives, is a South Asian island country, located in the Indian Ocean. It lies southwest of India and Sri Lanka. The chain of twenty-six atolls stretches from Ihavandhippolhu Atoll in the north to the Addu City in the south. Comprising a territory spanning roughly 90,000 square kilometers (35,000 sq mi), the Maldives is one of the world's most geographically dispersed countries, as well as the smallest Asian country by both land area and population, with a little over 393,500 inhabitants. Malé is the capital and most populated city, traditionally called the "King's Island" for its central location.
The Maldives archipelago is located atop the Chagos-Maldives-Laccadive Ridge, a vast submarine mountain range in the Indian Ocean, which also forms a terrestrial ecoregion, together with the Chagos and the Lakshadweep. With an average ground-level elevation of 1.5 meters (4 ft 11 in) above sea level, it is the world's lowest country, with even its highest natural point being the lowest in the world, at 2.4 meters (7 ft 10 in). Due to the subsequent risks posed by rising sea-levels, the government has pledged to make the Maldives a carbon-neutral country by 2019.
The financial sector in the Maldives is very narrow and is dominated by the banking industry. There are seven banks currently operating in the Maldives which include one locally owned commercial bank, branches of four foreign banks, one locally incorporated subsidiary of a foreign bank and an Islamic bank. The Non-bank financial institutions in the country consist of a finance leasing company, a specialized housing finance institution, insurance companies, money services businesses and securities market intermediaries. All banks and the non-bank financial institutions, except for the securities market intermediaries are licensed, regulated and supervised by the Maldives Monetary Authority. The Capital Market Development Authority (CMDA) is the regulator for the securities market in the Maldives. It has statutory powers to license securities market intermediaries including brokers, dealers, investment advisers, asset managers, custodians, credit rating agencies as well as stock exchanges and central depositories. The regulatory powers are derived under the Maldives Securities Act, 2006 and Maldives Pension Act 2009.
|Agriculture||Fish & Wheat.|
|Manufacture||scrap iron, turbines and etc.|
|Services (Including financial)||28.4% (2013 estimate)|
|Maldives Transport and Contracting Company Plc||Transportation|
|Bank of Maldives||Bank|
|State Trading Organization||Gas|
|Maldives Tourism Development Corporation Plc||Trading|
|Amana Takaful Maldives||Insurance|
|Dhivehi Raajjeyge Gulhun Plc||Oil|
|Housing Development Finance Corporation Plc||Finance|
|Dhivehi Raajjeyge Gulhun Plc||Telecommuincation|
|Centurion Plc||Transportation & Logistics|
The Maldives Stock Exchange (MSE), is a private sector Stock Exchange located at 3rd Floor, H. Gadhamoo Building in Malé, Maldives.
A Securities Trading Floor (STF) was first established on 14 April 2002. It was operated by the Capital Market Development Authority (CMDA), the regulator. However, the Securities Act 2006 requires that CMDA invite offers from a private company to establish and operate a stock exchange. The Maldives Stock Exchange Pvt Ltd has been licensed to operate as a Stock Exchange since the 23 January 2008. As such the MSE started its operations effective from 24 January 2008.
The primary function of MSE is to facilitate companies raise capital through the issue of new securities. The MSE provides a regulated market for the trading of securities between investors. The MSE is also the centre for trade reporting and pricing of the stocks. It also provides clearing, settlement and depository services through a subsidiary, the Maldives Securities Depository (MSD)
There are ten listed companies on Maldives Stock Exchange as of 14 October 2016.
The Maldives Stock Exchange Index (MASIX) was published on 28 October 2004. Like other stock market indices, MASIX captures the overall movement in prices & changing expectations of the Maldives Stock Market. MASIX – represents the Maldives Stock Exchange.
Maldives entered the global economic crisis of 2008-2009 in a weak macroeconomic position. At the onset of the crisis, the government’s expenditure patterns proved unsustainable as tourism-related revenues declined sharply. The European debt crisis added to these challenges. Public debt has escalated sharply in recent years, rising from 58 percent of GDP in 2009 to 86 percent in 2013, and the country is deemed at high risk of debt distress4. The overall fiscal deficit rose from 11.3 percent of GDP in 2011 to 13.5 percent in 2012 and closed in 2013 at about 9.8 percent. On the external front, the current account deficit reached 27 percent of GDP in 2013, a threefold increase over its 2010 level. External debt also increased, reaching 98 percent of GDP in 2013, compared to 58 percent in 2010.
Even though the Maldives enjoys the highest revenue collection in South Asia, the country is spending beyond its means. Expenditure trends over the past five years reveal a widening gap between revenues and expenditures, financed by unsustainable levels of public debt. In 2013, total expenditures were above 42 percent of GDP, while total revenue collection amounted to 32.8 percent of GDP. The increase in public spending has been driven by higher-than-budgeted expenditures on the wage bill (15.8 percent of GDP), universal subsidies (including food and electricity subsidies), social welfare payments (linked to the universal health insurance scheme), transfers to state-owned enterprises and capital spending in the outer atolls. In this context, management of the constrained cash flow has become a burgeoning challenge. The government has resorted largely to extraordinary means of deficit financing, including building up arrears, monetization and ad hoc borrowings from the banking and private sectors at high-interest rates. While the 2013 budget introduced a host of measures to curtail expenditures and increase revenues, their impact has been limited in the absence of clear policies to ensure their implementation. Arrears, at an estimated six percent of GDP, pose a significant fiscal risk.5
Loose fiscal policy has made macroeconomic management difficult, putting pressure on the balance of payments and external reserves. While the impact of high public spending and deficit monetization on prices has been contained – inflation moderated to six percent at end 2013 as commodity prices eased and the effects of previous tax increases elapsed – pressures on the balance of payment and the exchange rate have increased. Maldives follows a pegged exchange rate regime with a horizontal band of 20 percent on either side of a central parity at 15.4 MVR per US dollar. The government’s rationing of foreign exchange has resulted in a parallel dollar market, where the Rufiyaa is trading at a 10–15 percent premium.6 The parallel market has helped to meet some of the demand for dollars, and reserves have held up better than expected. As of end 2013, gross reserves stood at $344.7 million or around 2.3 months of imports. Usable reserves, however, are deemed to be substantially lower.
The Maldives have been historically and culturally linked to the Indian subcontinent since the fourth century BCE. The Maldivian archipelago was Islamised in the 12th century and consolidated as a sultanate, developing strong commercial and cultural ties with Asia and Africa. From the mid 16th-century, the region came under the increasing influence of colonial powers, with the Maldives becoming a British protectorate in 1887. Independence from the United Kingdom was achieved in 1965 and a presidential republic was established in 1968 with an elected People's Majlis. The ensuing decades have been characterised by political instability, efforts at democratic reform, and environmental challenges posed by climate change.
The Maldives is a founding member of the South Asian Association for Regional Cooperation (SAARC). It is also a member of the United Nations, the Organization of Islamic Cooperation and the Non Aligned Movement. The World Bank classifies the Maldives as having an upper middle income economy. Fishing has historically been the dominant economic activity, and remains the largest sector by far, followed by the rapidly growing tourism industry. Along with Sri Lanka, it is one of only two South Asian countries rated "high" on the Human Development Index (HDI), with its per capita income the highest among SAARC nations.
The Maldives was a Commonwealth republic from July 1982 until its withdrawal from the Commonwealth in October 2016 in protest at international criticism of its records in relation to corruption and human rights.
(Former vice president)
The rufiyaa is the currency of the Maldives. Determining the exchange rate for the US dollar and the issuance of the currency is controlled by the Maldives Monetary Authority (MMA). The most commonly used symbols for the rufiyaa are MRF and Rf. The ISO 4217 code for Maldivian rufiyaa is MVR. The rufiyaa is subdivided into 100 laari. The name "rufiyaa" is derived from the Hindi word rupiyaa, ultimately from Sanskrit rupya. The midpoint of the exchange rate is 12.85 rufiyaa per US dollar and the rate is permitted to fluctuate within a ±20% band, i.e. between 10.28 rufiyaa and 15.42 rufiyaa as of 10 April 2011.
The earliest form of currency used in the Maldives was cowry shells (Cypraea moneta) and historical accounts of travelers indicate that they were traded in this manner even during the 13th century. As late as 1344, Ibn Batuta observed that more than 40 ships loaded with cowry shells were exported each year. A single gold dinar was worth 400,000 shells.
During the 17th and 18th centuries, l?rin (parallel straps of silver wire folded in half with dyed Persian and Arabic inscriptions) were imported and traded as currency. This form of currency was used in the Persian Gulf, India, Ceylon, and the Far East during this time. Historians agree that this new form of currency was most probably exchanged for cowry shells and indicates Maldives’ lucrative trade with these countries. The first Sultan to imprint his own seal onto this currency was Ghaazee Mohamed Thakurufaanu Al Auzam. The seal was much broader than the wires hence it was barely legible.
The first known of coins were introduced by Sultan Ibrahim Iskandar (1648–1687). Compared to the previous forms of money, these coins were much neater and minted in pure silver. The coins were minted in the capital city of Malé, a fact which it acknowledged on the reverse. The legend "King of Land and Sea, Iskandhar the Great" is found on the edge.
After this period, gold coins replaced the existing silver ones during the reign of Sultan Hassan Nooruddin in 1787. He used two different qualities of gold in his coins; one was called Mohoree and the other Baimohoree, of which the former is of higher value. How this gold was obtained is uncertain.
Throughout the nineteenth and early twentieth centuries, bronze coins were issued denominated in laari. Sultan Mohamed Imaadhudheen IV (1900–1904) introduced what historians believe to be the first machine struck coins, judging the superior quality of the engravements. His successor Sultan Mohamed Shamshudeen III (1904–1935) made the last of these coins, 1 and 4 laari denominations, which were struck in the United Kingdom by Heaton's Mint, Birmingham, England in 1913.
Following the end of coin production specifically for the Maldives, the Sultanate came to use the Ceylonese rupee. This was supplemented in 1947 by issues of banknotes denominated in rufiyaa, equal in value to the rupee. In 1960, coins denominated in laari, now worth one-hundredth of the rufiyaa, were introduced.
|National Song||"Gaumii salaam"|
|Currency||Maldivian rufiyaa (MVR)|
|GDP / GDP Rank||5.501 Billion USD|
|GDP Growth Rate||1.9 Percent|
|GDP Per Captial||$15553.004 (PPP)|
< 1.0% Christians
< 1.0% Hindus
< 1.0% Buddhists
< 1.0% Jews
< 1.0% Other Religions
President – Ibrahim Mohamed Solih
|Website||Go to the web|
|Public Debt||81.511 Percent|
|Unemployment Rate||3.234 Percent|
|Labor Force (Occupation)||-|