A visiting delegation of the International Monetary Fund (IMF) has stated that the economic situation of the Maldives is currently looking positive.

The delegation made the statement during a meeting with Parliament Committee on Public Accounts and Economic Affairs. Tidiane Kinda who is heading the delegation noted that the Maldives GDP is expected to grow by 9-10%. He explained that the growth will be a result of the shift towards newer markets instead of Russia for tourism, and the little to no effects that the Ukraine war has had on the country's tourism industry.

He further added that, unlike other countries, the rate of inflation in the Maldives has been steady largely due to the subsidies provided to control the costs.

However, they had stressed that the coming days would be a difficult time.

He highlighted that the challenges across European economies and the slowdown in the Chinese economy are expected to create a difficult time for the global economy. This in turn is bound to create challenges for a developing nation such as the Maldives.

Kinda noted that the biggest challenge would be sourcing funds internationally, as the economic hardships are bound to raise interest rates.

He further noted that decreasing government expenditure was crucial, and had advised to cut down on budgets for state-owned enterprises as well.