The funds for the 250 million in bonds sold to the State Bank of India (SBI) with the sovereign guarantee from India, has been transferred to the Maldives Monetary Authority (MMA).

A symbolic handover of the bond given by India to assist the Maldivian economy amid the COVID-19 was presented at a ceremony held on 20 September.

Spokesperson of the MMA, Mohamed Nasih told One Online today that the funds were deposited to MMA on 23 September 2020.

The funds were given without condition from the bonds sold to the SBI branch in the Maldivian capital. The money has to be repaid withing ten years with an interest rate of 3.5 percent.

The Maldivian Foreign Ministry has previously said that the since the loan is being acquired through the SBI branch in the Maldives, it would not be a foreign loan. And with the principle payment having to be paid after ten years, there would no immediate debt loss aside from the interest payment.