Maldives: 2017 Article IV Consultation‑Press Release; Staff Report; and Statement by the Executive Director for Maldives

IMF Staff Country Reports, December 1, 2017

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The report covers the 2017 Article IV Consultation for Maldives.
The economy grew by 3.9 percent in 2016 and continued to improve in 2017 on a recovery in tourism and continued strength in construction.
The outlook is for a strengthening recovery in the near term, with low inflation and loose financial conditions, but with significant downside risks from a fragile fiscal and external position.
Growth is projected to recover in 2017 and stabilize over the medium term.

Real GDP growth: 3.9 percent in 2016.
Growth drivers in 2017: recovery in tourism and continued strength in construction.
Inflation: characterized as low (no numeric value provided in the source).
Financial conditions: characterized as loose (no numeric value provided in the source).

Fiscal deficit: widened in 2016, driven by lower-than-expected revenue and large arrears clearance despite unchanged current spending.
Public debt: rose nearly 11.5 percentage points as a share of GDP from 2014–16.
External position: described as fragile, contributing to downside risks.

Near‑term outlook: strengthening recovery, low inflation, loose financial conditions.
Downside risks: significant, stemming from a fragile fiscal and external position.
Medium‑term outlook: growth projected to stabilize (no numeric medium‑term projection provided in the source).