Maldives president thanks Malaysia for considering US$100mil currency swap facility

HYDERABAD: Maldives President Mohamed Muizzu thanked Malaysia for its decision to consider extending a US$100 million currency swap facility and expressed optimism that bilateral ties would grow stronger following Prime Minister Datuk Seri Anwar Ibrahim's recent state visit.

In a post on X on Friday, Muizzu also welcomed Malaysia's agreement in principle to begin negotiations on a Preferential Trade Agreement (PTA), describing both initiatives as important steps towards strengthening economic cooperation and creating new opportunities for businesses and people in both countries.

"It was an absolute honour to host you, dear Prime Minister @anwaribrahim, on your landmark State Visit to the Maldives.

"I am extremely grateful for your decision to consider extending a short-term currency swap facility of USD 100 million through our central banks," he said.

On Sept 15, Anwar told Malaysian media after concluding his official visit that Malaysia had agreed in principle to support the Maldives' application for a US$100 million financing facility, which he described as a form of soft loan to be implemented through the monetary authorities of both countries.

Anwar, who is also finance minister, said the terms and mechanism of the facility were still being worked out by Bank Negara Malaysia (BNM) and the Maldives Monetary Authority (MMA).

Meanwhile, Muizzu said Anwar's Sept 14-15 state visit to the Maldives "has opened a dynamic new chapter in the enduring bonds of friendship between the Maldives and Malaysia".

"Our fruitful official talks have laid a strong foundation for the future, reaffirming our shared commitment to expanding cooperation in key areas, including trade and investment, education and healthcare, tourism and sustainable development, Islamic affairs, and defence cooperation," he said.

Among other issues, Malaysia and the Maldives have agreed to grow their cooperation in multilateral forums such as the United Nations, the Organisation of Islamic Cooperation (OIC) and the Commonwealth.

The Maldives is a key recipient of support under the Malaysian Technical Cooperation Programme (MTCP).