Economic
ADB Warns of Sharp Economic Slowdown in Maldives
Asian Development Bank warns Maldives faces a sharp economic slowdown in 2026 as Middle East conflict and inflationary pressures hit tourism and public finances.
The Asian Development Bank’s Asian Development Outlook for April 2026 forecasts Maldivian economic growth to slow sharply to 1.0% in 2026, down from 5.4% in 2025, before recovering modestly to 3.0% in 2027. The slowdown is driven by weaker tourism performance amid Middle East tensions, higher global oil prices, and rising import costs that push inflation toward 5.0%. The report notes that although the Maldives repaid its sovereign sukuk on 2 April 2026, fiscal pressures remain elevated. Tourism, the backbone of the economy, shows signs of strain as visitors stay for shorter durations, limiting revenue gains despite higher arrival numbers. The ADB calls for urgent fiscal reforms to reduce expenditure and strengthen macroeconomic stability.
- Status
- active
- Location
- Maldives
- Date added
- 2026-04-11 00:08 UTC
- Added by
- bodglobalapdrt
- Last updated
- Source
- Devdiscourse
- Source published dsate/time
- 2026-04-10 14:36 UTC
- Event date/time
- Not provided
- Connected threats
- Not provided