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The Maldives repaid the final USD 50 million tranche on 17 September 2026, closing a USD 150 million treasury bill facility subscribed by the State Bank of India in 2019.
The facility had been rolled over six times, each extension running one year; the Maldives repaid principal while the Indian government bore the interest, about USD 45 million over five years.
Maldives Finance Minister Hassan Zareer confirmed the repayment; MEA spokesperson Randhir Jaiswal confirmed the settlement on 18 September 2026.
Maldivian foreign exchange reserves, which stood at USD 643.8 million at the end of August 2026, fell below USD 600 million after the payment.
India's remaining support includes an Rs 30 billion currency swap window and USD 350 million of subscribed Maldivian treasury bonds.
Subscribed the Maldivian treasury bills in 2019; India's largest public sector bank, constituted under the State Bank of India Act, 1955
Counterparty to the currency swap with the Maldives Monetary Authority under the SAARC Currency Swap Framework
Central bank of the Maldives; manages the country's foreign exchange reserves and is the swap counterparty
State Bank of India subscribes Maldivian treasury bills as emergency budget support.
The facility is rolled over six times, each extension covering one year, with India absorbing the interest.
RBI and the Maldives Monetary Authority conclude a currency swap during President Muizzu's visit - Rs 30 billion under the INR window and USD 400 million under the dollar-euro window.
The Maldives repays the final USD 50 million tranche, closing the facility.
India's MEA confirms the settlement.
GS Paper 2 > International Relations > India and its neighbourhood, bilateral economic assistance
General Awareness > Treasury bills, currency swaps, forex reserves and SAARC financial arrangements
With reference to the governance of public sector banking in India, consider the following statements: 1. Capital infusion into public sector banks by the Government of India has steadily increased in the last decade. 2. To put the public sector banks in order, the merger of associate banks with the parent State Bank of India has been affected. Which of the statements given above is/are correct?
Answer: 2 only
Which of the following best describes the term 'import cover', sometimes seen in the news?
Answer: It is the number of months of imports that could be paid for by a country's international reserves
Consider the following statements: 1. The Reserve Bank of India manages and services Government of India Securities but not any State Government Securities. 2. Treasury bills are issued by the Government of India and there are no treasury bills issued by the State Governments. 3. Treasury bills offer are issued at a discount from the par value. Which of the statements given above is/are correct?
Answer: 2 and 3 only
In the context of the Indian economy, non-financial debt includes which of the following? 1. Housing loans owed by households 2. Amounts outstanding on credit cards 3. Treasury bills Select the correct answer using the code given below:
Answer: 1, 2 and 3
With reference to India, consider the following statements: 1. Retail investors through demat account can invest in 'Treasury Bills' and 'Government of India Debt Bonds' in primary market. 2. The 'Negotiated Dealing System-Order Matching' is a government securities trading platform of the Reserve Bank of India. 3. The 'Central Depository Services Ltd. is jointly promoted by the Reserve Bank of India and the Bombay Stock Exchange. Which of the statements given above is/are correct?
Answer: 1 and 2
A short-term government debt instrument issued at a discount and redeemed at face value, with a maturity of up to one year.
An arrangement in which two central banks agree to exchange currencies, giving one side access to foreign exchange liquidity for a set period.
External assets held by a monetary authority - foreign currency assets, gold, Special Drawing Rights and the reserve position in the IMF.