50m euros budget support loan from Hungarian Exim Bank; 3.9% interest
Repayment period is 10 years
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The government took out a loan of 50 million euros (MVR 842.8 million) from Hungary's Exim Bank in June, the finance ministry has told the parliament.
The debt figures released by the Finance Ministry last August only said the loan was taken from a foreign private creditor. When asked who it was, the finance ministry declined to disclose it.
However, the details of the loan were shared by the finance ministry at the parliament's public finance committee meeting held on Monday.
The finance ministry sent a letter to the committee on the 50 million euros budget support loan on June:
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The loan was taken from the Hungarian Exim Bank
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Repayment period is 10 years
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Interest is 3.9% per annum and the commitment fee is 0.5%
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19.52 million euros in interest payments
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69.86 million euros will be spent for loan servicing over the 10-year period
In September, finance minister Ibrahim Amir characterised as false a document leaked on social media saying that the loan for budget support was taken from Hungary's Exim Bank.
At Monday's public finance committee meeting, the finance ministry also shared information on two other loans taken from the World Bank in June. They include:
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A $26.4 million loan to strengthen Maldives' fisheries sector
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A $7.5 million loan to increase competitiveness in the private sector and strengthen the operations of state-owned enterprises
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Both loans are repayable within 40 years
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Interest is 0.85%
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