Economy

To cut expenses and streamline operations of state-owned enterprises, President Dr. Mohamed Muizzu announced on Monday, 7 September 2026, the decision to dissolve Fenaka Corporation and Road Development Corporation (RDC) and merge their operations into STELCO and MTCC. Speaking at a press conference held at the President's Office, the President said that following this decision, made based on advice from the Cabinet and technical experts, STELCO would become the sole company providing electricity and utility services across the Maldives, while all road development projects of RDC would now be carried out by MTCC. In addition, he noted that these changes would eliminate overlapping corporate roles, reduce waste, and right-size the proportion of employees in the companies to an appropriate level.

On 7 September 2026, a decision was made to reacquire government shares in Maldives' telecommunications company, Dhiraagu, and the Male' Water and Sewerage Company (MWSC). This decision is intended to reinforce state authority and control over these two companies that provide vital national services, and to ensure that the quality of services is delivered in the most beneficial manner for the public. In this regard, the government has now officially commenced work on taking all procedural and legal steps required to bring the shares of those companies back under state ownership.

Details have been disclosed of a special project aimed at developing 10 resorts with public shareholding and providing a financial benefit of 400 dollars annually to each citizen. The main objective of this project is to establish a mechanism that equitably distributes direct benefits from the high revenues of the tourism industry to general citizens. Accordingly, it is planned that each individual will be disbursed a designated annual payout from the profits generated by operating the developed resorts. It is anticipated that such a project will enhance the direct participation of citizens in the nation's economic wealth.

On September 7, 2026, the government decided to transfer Agro National Corporation (AgroNet), established to develop the agricultural industry of the Maldives, under the Maldives Industrial Fisheries Company (MIFCO). This decision was made by the government with the objective of bringing the resources and operations of both companies under one roof, further streamlining management, and reducing costs. In addition, it is expected that this change will ensure food security in the Maldives and further strengthen the marketing systems for agricultural and fisheries products.

A USD 1.5 billion financial framework agreement was officially signed between the Government of Maldives and the International Islamic Trade Finance Corporation (ITFC) on 7 September 2026 to expand import-export trade and assist various economic sectors. This agreement is a crucial accord reached to strengthen the trade sector by facilitating the uninterrupted import of essential commodities, food, and fuel required by the Maldives. Furthermore, the government announced at the signing ceremony that this facility will provide significant ease in obtaining foreign currency for Maldivian businesses and state-owned enterprises.

On Monday, September 7, 2026, the President delivered important remarks regarding increasing state revenue and strengthening government employment policies. In this speech, he highlighted the importance of finding new avenues to boost revenue in order to ensure the nation's economic health, as well as policies to facilitate job market opportunities for citizens. He also detailed the steps being taken by the government to enhance the governance of public institutions, create sustainable jobs, and achieve economic stability.