No link between the state and BML seeking funds from international markets, says finance minister

The strategic efforts by Bank of Maldives (BML) to secure funds from international financial markets are not connected to the state, says Finance Minister Moosa Zameer.

BML had held a serious of “non-deal roadshow’ meeting from April 29 and May 8, during which the bank’s officials met with fund managers in global financial hubs of Singapore, Hong Kong, and London, as it seeks to raise up to USD 300 million.

Zameer described these meetings as an important strategic effort carried out to sustain the bank's growth and expand the role it plays in providing the financial assistance required by businesses and industries for the next phase of the Maldives' economic development.

He stressed that the effort has no connection to the state.

"This is not an activity conducted by the state to obtain debt financing. As the bank is a highly important and robust institution for the Maldives' economy, this is an effort by the Bank of Maldives to increase its capital with the full confidence of the government," he said.

BML has said that the funds it hopes to raise through the meetings will be primarily utilized to expand the bank's services, and further strengthen the assistance provided to the tourism sector – the Maldives’ main economic driver.

The bank said that it had issued USD 594 million in loans to the tourism sector as of the end of April, including USD 35 million disbursed between January and April this year.

The BML also said that the meetings were held following a successful year in which the bank achieved the best financial results in its 43-year history.

The bank said that it has been maintaining its profitability margins, liquidity, and capital adequacy ratios well above regulatory standards. The bank added that it also has no external debt, placing it in a strong financial position, with favorable opportunities to enter international markets.