Warning to Maldivian government..!? New problem caused by China..!!?

Sowmiya Sriram
Warning to Maldivian government..!? New problem caused by China..!!?
While the India-Maldives conflict has flared up, the indian government is planning to invest up to Rs 4500 crores to develop the maldives as a world tourist destination. In the meantime, the Maldivian government has been getting closer to China. The international Monetary Fund has warned that if the country's fiscal policies are not reviewed soon, the country will be in deep debt trouble. maldives has continued to receive excessive loans from china both before and after the regime change.
While India's neighbors pakistan and sri lanka are already trapped in China's debt net, it seems that the maldives is also getting trapped. The international Monetary Fund (IMF) has warned that the Maldives' external and overall debt levels are at risk of becoming too high unless the country's fiscal policies are reviewed as soon as it continues to borrow from China. The international Monetary Fund has not released full details of the Maldives' external debt but has called for urgent policy reform.
 Abdulla Yameen, who was president of the maldives from 2013 to 2018, borrowed heavily from china for construction projects. With this debt, china owes about 42 percent of the Maldives' total external debt. Former President Yameen is the mentor of current President Muizu.
China has pledged more financial aid to the maldives, with Mohamed Muisu taking over as president. In this situation, the IMF has warned that the maldives is likely to get stuck in a serious debt crisis.

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