President orders dismissal of over 200 political appointees

President Dr. Mohamed Muizzu has instructed the dismissal of hundreds of political appointees from various government ministries.

In a post on X on Tuesday afternoon, President Muizzu announced that 228 political appointees will be dismissed within the next 15 days.

“I have today instructed to remove 228 political appointees from various government ministries within the next 15 days,” he said.

President Muizzu said that the decision was made as part of his economic reform agenda as a direct cost cutting measure.

According to him, the 228 political appointees who will be dismissed includes seven state ministers, 43 deputy ministers, 109 senior political directors and 69 political directors.

He added that the decision will save MVR 5.714 million per month from the government budget.

During his 2023 presidential campaign, President Muizzu pledged to cap political appointments at 700. However, the main opposition Maldivian Democratic Party (MDP) alleges that this number now stands over 2,000.

The exact number of political appointments is unclear as the government has refused to disclose the figure.

Maldives has an external debt service obligation of about USD 600 million due in 2025, and more than USD 1 billion in 2026 – including a USD 500 million sukuk. Top rating agencies Moody’s and Fitch have both downgraded Maldives’ credit rating citing risk of default.

The decision to cut down political posts also comes a week after the World Bank, it its latest biannual Maldives Development Update, expressed concern over limited progress in implementing the fiscal reform plan announced by President Muizzu’s administration in February.

According to the World Bank, the Maldives' total public and publicly guaranteed debt stood at USD 8.2 billion, or equivalent to 116 percent of GDP, in the first quarter of this year.

World Bank said that despite Maldives’ economic growth, the increasing public debt and high fiscal spending, particularly for public sector investments and subsidies, remains worrying.

It stressed the need for urgent actions to reduce spending.

But despite the concerns, the Maldivian administration has provided assurance it will honor its debt obligations to creditors and investors.