South Asian Business news and information

In an earlier post, I wrote that Maldives was slowing coming out of the effects of Tsunami. Before Tsunami hit along with the other parts of Asia in December 2004, everything seemed to be working well for the country. The growth rate was 8.8%. But since then, the country has remained engaged in rebuilding the infrastructure.

 One year is not enough but what I can touch from ADB's report is that the government of Maldives has acted well enough and that is why ADB is predicting of 9% economic growth in 2006 for Maldives. However, ADB has warned the government of that it must act wisely to tackle budget deficit and inflation. ADB has also predicted a slow down in the economic growth next year and according to ADB next year the economic growth for will be 6%.  That's a 3% drop from the current year. Rising oil price in the international market is affecting Maldives too like other South Asian countries. However, fortunately, has a long term contract with and under it gets some discount from the on spot market rate. Thanks God, Maldives had it.

 I am happy that within one year of Tsunami, the economy of is standing up again.

 To read ADB's projection about Maldives visit the link.