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Former President and MDP Chairperson Mohamed Nasheed speaks at the opposition-led “Dhathivejje” protest in Malé on Wednesday night

MALE’— Former President and MDP Chairperson Mohamed Nasheed has called on the government to hold discussions with opposition parties over the country’s economic situation, while raising concerns about public debt, foreign exchange reserves and rising prices.

Speaking at the opposition-led “Dhathivejje” protest in Malé on Wednesday night, Nasheed claimed that the Maldives’ debt had risen to more than 130 percent of GDP.

He also alleged that the government was using foreign exchange reserves accumulated during the previous MDP administration to service debt, warning that the country’s dollar reserves had been significantly depleted.

“We repeatedly told the government not to empty the little money we have. Now, in reality, our dollar reserves have been depleted,” Nasheed said.

Nasheed also raised concerns over the exchange rate of the US dollar, claiming that it was trading above MVR 20.05 on the black market and warning that the rate could move towards MVR 23.

He further warned of the risk of “hyperinflation”, saying rising prices were placing additional pressure on households already struggling with the cost of basic goods.

Nasheed also criticised the government’s requirement for resorts to allocate 20 percent of their revenue, arguing that the measure could negatively affect the tourism industry.

“Twenty percent is not a profit,” Nasheed said, noting that some investors had borrowed money overseas to finance investments in the Maldives.

He argued that taking a portion of investors’ funds could further increase pressure on the country’s US dollar availability.

Nasheed’s remarks came during the “Dhathivejje” demonstration, where supporters of the opposition Maldivian Democratic Party (MDP) gathered in Malé.

The former president has repeatedly criticised the government’s economic policies and raised concerns over the country’s debt and foreign exchange position.