Euromoney Country Risk


Read the latest analysis on sovereign, geo-political and structural risk

Get up to date country risk ratings in 186 countries

Member login

Lost your password?

Euromoney Country Risk

Euromoney Country Risk
List of countries.

Maldives Maldives

Overview Change score Analyses Experts
Sponsored section
Maldives – Quick View
ECR score16.1 (Mar 2011)
ECR rank166 (Mar 2011)
GDP, 2011USD 1,640 million
GNI per capita PPP, 2010USD 5,408
FDI inflow, 2009USD 9.6 million
Central bank assets, 2010 (till Nov)USD 689.83 million
Unemployment rate, 200914.4%
Government deficit, 2010USD 298 million
Tax revenue, 2011USD 419.52 million
Government typeRepublic
Recent political crisisInter-government dispute
Economic freedom score154th
Freedom of information score52nd
Corruption perception index143rd
Crude Birth rate, 200919 per ‘000
Population balance, 2009Under 14 years – 28%
Population balance, 2009Females over 60 years – 5.9%
Population balance, 2009Males over 60 years – 6.1%
Life expectancy years, 2009Male - 72.5 years
Life expectancy years, 2009Female - 74.2 years
Mortality rate, 200911 per ‘000
Literacy rate, 201097.3%
Internet access, 201022.2%

[Top] Economic Overview

The economy of the Republic of the Maldives is mainly dependent on tourism and fishing. Tourism is the largest industry in the Maldives and fishing is the second leading sector. Some agriculture is practised but only on a small scale. The Maldives exports fish products and imports foodstuffs, petroleum products, transport equipment and construction equipment.


Gross domestic product (GDP)

Maldives GDP at current prices

(Source: Central Bank, pg: 2)

The GDP in the Maldives rose steadily between 2005 and 2011. Since 2011, GDP has been estimated at MVR 21,282.40.

GDP growth rate

Maldives GDP growth rate

(Source: Central Bank, page: 2)

The GDP growth rate experienced fluctuations betwen 2005 and 2011. In 2011, the rate was 12.2%.

GNI per capita

Maldives GNI per capita at PPP

(Source: World Bank)

GNI per capita at PPP in the Maldives was USD 5,250 in 2009.

In 2010, GNI per capita (PPP) was USD 5,408.

(Source: World Bank, page: 4)

Tax rate

Maldivians do not have to pay any income tax. The Maldives also does not levy any corporate tax or sales tax.

(Source: Tax Rates)

Inflation rate

Maldives Inflation rate

(Source: Central Bank, page: 14 & 15)

The inflation rate in the Maldives fluctuated moderately from 3.48% in 2005 to 5.59% in 2010.

Foreign direct investment (FDI) Inflow

FDI inflows in the Maldives were USD 9.6 million in 2009.

(Source:, page: 1)

Total reserves

Maldives Reserves

(Source: Central Bank, page: 30 & 31)

The Maldives Monetary Authority (MMA) is the central bank of the Maldives. Gross reserves of the bank amounted to MVR 4,545.30 million in 2010.

Banking sector assets

Maldives Banking sector assets


(Source: Central Bank, page: 30 & 31)

Banking sector assets increased steadily between 2005 and 2010. In 2010, total assets were MVR 8,949.30 million.

[Top] Financial Indicators & Government Financial

Consumer price index (CPI)

Maldives Consumer Price Index

(Source: Central Bank, page: 14 & 15

(Base Year, June 2004 = 100)

In 2010, CPI in the Maldives was 139.59, an increase of 5.68% over the previous year.

Producer price index (PPI)

Maldives Producer Price Index

(Source: National Statistics, page: 10 & 11)

The producer price index in the Maldives for Q1 2010 amounted to 151.93.

Interest rate

Rates on savings and deposits


Interest Rates on Saving Deposits (%)

2010 (till Nov)

1.25 - 3


1.25 - 3


1.25 - 3


1.5 - 3


1.5 - 3


1.5 - 3


1.5 - 3


2 - 5


2.5 - 5.5


5 - 6

(Source: Central Bank, page: 36 & 37)

Interest rates on savings deposits ranged between 1.25-3% in 2010.

Interest rates on time deposits



2010 (till Nov) (%)

2009 (%)

Up to 6 months



Over 6 months to 1 year



Over 1 year to 3 years



Over 3 years to 5 years



Over 5 years



(Source: Central Bank, page: 36 & 37)


Money supply (Currency in Circulation)


 Maldives Money supply

(Source: Central Bank, page: 24 & 25)

The money supply grew consistently between 2005 and 2010. In 2010, the narrow money supply M1 was MVR 7,799.5 million; the quasi money was MVR 8,114.3 million.

Total expenditure

 Maldives Total expenditure


(Source: Central Bank, page: 2)


The Maldives’ total public expenditure increased from MVR 5,657.60 million in 2005 to MVR 10,907.00 million in 2010.

External debt

(Source: Central Bank)

The Maldives' external debt grew continuously between 2005 and 2009. In 2009, total external debt was USD 933.4 million.

Official exchange rate

The value of the Rufiyaa: the MVR remained stable against the US dollar between 2005 and 2010 at 12.8.

(Source: Central Bank, page: 54)

Government finances

Fiscal balance

 Maldives Fiscal balance


(Source: Central Bank, page: 2)


The Maldives was running a fiscal deficit between 2005 and 2010. In 2010, the deficit was MVR 3,866.00 million.

Total revenue

Maldives Total revenue and grants

(Source: Central Bank, page: 2)

In 2010, total revenue and grants amounted to MVR 7,040.9 million.

Tax revenue

Maldives Tax revenue

(Source: National Statistics)

e = estimated

In 2010, tax revenue collected by the government amounted to MVR 3,482.80 million. In 2011, the amount is estimated to rise to MVR 5,444.10 million.

Total grants

Maldives Total grants

(Source: National Statistics)

e = estimated

In 2011, total grants were estimated to reach MVR 213.4 million.

Current account balance


 Maldives Current account balance


(Source: Central Bank)


The Maldives had a current account deficit between 2005 and 2011. In 2011, the deficit is estimated to reach USD 647.4 million.

Balance of payments

Maldives Balance of Payment (USD million)





Trade balance




Exports (fob)








Services (net)




Balance on current transfers




Financial Account








Current account




Current account (percent of GDP)




(Source: National Statistics)

[Top] Labour Force and Employment Overview

Labour force

Maldives Labour force



The total labour force of the Maldives was 70,259 people in 2009, a decrease of 13.09% over the previous year.

Labour force participation rate

The labour force participation rate in 2008 was 65%.


Unemployment rate

The unemployment rate was 14.4% in 2009.


Minimum wage

In 2011, the minimum wage in the Maldives was MVR 2,600 per month for government sector employees.

(Source: Minimum Wage)

Level of unionisation

There are no trade unions in the Maldives.



[Top] Political Stability

Government stability

The Maldives is a presidential republic. The president is the head of the government and the executive power is exercised by the government.

Majlis or People's Majlis is the parliament of the Maldives. The parliament is unicameral. Abdulla Shahid is the president of parliament, elected on May 28th, 2009. Maldives has a Unicameral People's Council (Majlis) with 77 seats and are elected directly. These members serve 5 year terms. The previous 50 members of the People's Majlis included eight presidential appointees. Mohamed Nasheed is the president of the Maldives. The President is elected for a 5 year term.

The last presidential election was held in 2008 and parliamentary elections were held in 2009.


Some of the political parties in the Maldives are: Adhaalath Party (AP), Dhivehi Raiyyethunge Party (DRP), Islamic Democratic Party (IDP), Maldivian Democratic Party (MDP), Social Liberal Party (SLP), Dhivevi Quamee Party (DQP), People’s Alliance (PA) and Republican Party (Jumhooree).


Political power is shared among a few families at the top of the social hierarchy. The power of these local chiefs is limited and they only have few responsibilities. The situation on the islands is reported to the government by these local chiefs.

(Source: Maldives-ethnography)

The government of the Maldives has been characterised by an ongoing intergovernmental dispute. The disagreement between the president and opposition-led national parliament has been a major obstacle to multi-party democracy. This has resulted in several public riots and disruptions in Male’ (the capital city).


Regulatory environment

Maldives Economic Freedom Indices


The Economic Freedom score of the Maldives is 48.3, making its economy the 154th freest in the 2011 Index of Economic Freedom. The Maldives is ranked 34th out of 41 countries in the Asia–Pacific region, and its overall score is below the world and regional average.


Corruption perception

The Corruption Perceptions Index (CPI) is a survey to measure the perceived level of corruption across countries worldwide. Maldives is ranked 143rd with a score of 2.3 which indicates that the corruption level in the public departments is fairly high.        


 Freedom of information

In 2010, the Maldives ranked 52nd on the Press Freedom Index with a score of 16.00. The low score indicates that the maldives does not impose any heavy regulations on the media.



The main newspapers in the Maldives include -

·         Haveeru Daily Online

·         Aafathis News

·         Miadhu News

(Source: BBC News)

Judicial System

The judicial system of Maldives is based on Islamic law and English Common Law. The parliament enacts other laws such as criminal law, contract and company law.


The judicial system includes the Supreme Court, High Court, Civil Court, Criminal Court, Family and Juvenile Court and 204 general courts.


The administration of justice is the responsibility of various courts under the Ministry of Justice and the high court of the Maldives. There is a court on each island which hear criminal, juvenile, family, and civil cases. The Republic of the Maldives has a decentralized administrative system. Administrative units are organized into 19 atolls. Atoll chiefs are appointed by the president. Serious cases are referred to the courts in Male’. The High Court is located in Male. It serves as court of appeal, and ultimate appeal lies with the president. The high court has the authority to hear any cases heard in the lower courts. The court also handles politically sensitive cases. There are also eight lower courts dealing with theft, debt or property cases.

(Source:,, page: 1)

[Top] Demographic Overview

Total population

The population of the Maldives in 2010 was 319,738, an increase of 1.65% over the previous year. 

(Source: National Statistics, page: 2)

Maldives Population by gender


Gender balance

In 2009, the total population consisted of 50.5% men and 49.5% women.


Population balance

In 2009, the population below the age of 14 accounted for 28% of the total population. Men above 60 years of age made up 6.1% of total population and women 5.9%.


Median age

In 2010, the median age in the Maldives was 24.4 years.

(Source:, page: 182) 

Life expectancy

Life expectancy at birth in 2009 was 72.5 years for men and 74.2 years for women.  

(Source: National Statistics)

Mortality rate

In 2009, the infant mortality rate was recorded at 11 (per ‘000 live births).

(Source: National Statistics)

Crude death rate

In 2009, the crude death rate was 5 (per ‘000).


Crude birth rate

In 2009, the crude birth rate was registered at 19 (per ‘000).   



The international migrant stock in mid 2010 was estimated at 3,300 people. This made up 1.0% of the total population.



40.1% of the population of the Maldives is classified as urban.       

(Source:, page: 182) 

Ethnic groups

The Maldivians are the only ethnic group in the Maldives. Islam is the main religion practised.


Human development index

The Maldives is ranked 107th and scored 0.602 on UNDP (United Nations Development Program)’s Human Development Index (HDI) 2010. The HDI provides a composite measure of three dimensions of human development: living a long and healthy life (measured by life expectancy), being educated (measured by adult literacy and gross enrolment in education) and having a decent standard of living (measured by purchasing power parity, PPP, income).

(Source:, page: 146)

[Top] Soft Infrastructure

Education resources

The Ministry of Education is the governing authority of the Maldivian education system. The Maldives follows the British system of education. English language is the medium of instruction in most schools, however there are also some schools that provide Islamic education and Arabic.

The main stages of education include primary education, secondary education and higher education. The syllabus of primary and secondary levels of education are covered under the national curriculum. Technical education and vocational training in fisheries science, Islamic studies and the Dhivehi language are also offered by educational institutes.


In 2010, the literacy rate in the Maldives was 97.3%.


Students enrolled and teachers in the Maldives

Education (2009)


Male’ (capital city of Maldives)


Students enrolled in the Maldives
















(Source: National Statistics)

Students enrolled in Male' (Grade 1 to 12)





Government schools




Private schools












(Source: National Statistics)

Healthcare Resources

The Maldivian health care system is seperated into a five-tier referral system, consisting of central health services,  referral hospitals, regional hospitals, atoll level hospitals, sub atoll level health centres and island health posts. 

The central level includes the Department of Public Health, Department of Medical Services, Indira Gandhi Memorial Hospital and the Maldives Food and Drug Authority. Their services are the highest level available in the health care system. There are six regional hospitals located at Hithadhoo, Thinadhoo, Gan, Muli, Ugoofaaru, and Kulhuduffushi.  These hospitals provide secondary level curative services. Atoll level hospitals serve the population with low access to healthcare services. There are 43 island level posts operating at the sub-atoll level. 


Private health care centres provide services to the general public in Male and other developing regions. These centres offer services such as outpatient medical care, including minor operations and laboratory facilities.


[Top] Hard Infrastructure

Public transit



2010 (No. of vehicles)

Land transport




Motor / auto cycles


Other vehicles


Sea transport










Other vessels


(Source: National Statistics)


Motorcycles and cars are the most popular means of public transportation.


In 2006, the total roadway length on the Maldives was 88km.           



The only sea port in the Maldives is the Port of Male. There are 90 man-made harbours in the Maldives.

(Source:, World Port Source)




Airport name

Runway length (ft.)

Gan Island



Hanimaadhoo Island



Kaadedhdhoo Island



Kadhdhoo Island




Male Intl




(Source: Aircraft Charter)

Telecommunications Network

Fixed Telephone Lines

Maldives Fixed telephone lines




In 2009, the number of fixed telephone line users in the Maldives was 49,025.


Mobile cellular subscriptions

Maldives Mobile cellular subscriptions


Mobile phone subscriptions increased steadily between 2005 and 2009. In 2009, the number of mobile phone subscription users was 457,770.

Approximately 87,900 out of 395,650 people, i.e. 22.2 % of population used the internet in 2010. Between 2000 and 2010, the number of internet users grew by 1,365.0 %.


(Sources: Internet World Stats)

Euromoney country risk banner
All material subject to strictly enforced copyright laws.
© 2019 Euromoney Institutional Investor PLC.