Former Finance Minister Ahmed Inaz has resigned from his role as Chairperson of the Pension Administration Office, citing unresolved concerns over the Maldives Monetary Authority’s investment linked to the national pension fund.
In a statement shared on X, Inaz said he could not support the current arrangement after extensive discussions failed to produce what he considered a sustainable solution. At the center of the issue is the decision involving pension funds and a government bond valued at MVR 2.4 billion.
Concerns Over Economic Sustainability
Inaz explained that, given the Maldives’ current economic situation, acquiring funds through the MMA could lead to long-term financial harm. He noted that while discussions were held at multiple levels, the risks remained too significant for him to continue in his position.
“I do not believe that a sustainable solution was found to the MVR 2.4 billion bond submitted by the government at a time when the state’s financial condition has fallen to worrying levels,” Inaz wrote.
He added that his decision to resign was based on technical and economic reasoning, rather than political considerations, stressing that the potential losses outweighed the perceived benefits.
Hope for Financial Reform
Despite stepping down, Inaz expressed optimism about the country’s future. He said he hopes the Maldives can stabilize its finances and move toward reforms guided by long-term thinking rather than short-term fixes.
“My hope is that Maldives can overcome this period of debt and return to a path of sustainable and innovative development,” he stated.
A Shift From Earlier Support
Inaz’s resignation comes despite his earlier public support for the bond arrangement. In previous remarks, he maintained that the MMA’s involvement and the use of funds to invest in government bonds did not violate existing laws.
On October 17, 2025, Inaz had assured that the Pension Board and its management acted in line with all relevant rules, regulations, and internal guidelines. He emphasized that safeguarding the sustainability of the pension fund had always been his top priority.
“Maintaining the sustainability and protection of this fund is the foremost responsibility of my role as Chairperson of the Pension Board,” he said at the time.
The bond issue remains a point of contention between the government and the opposition. Opposition figures have argued that the MMA’s investment in the pension fund, followed by the use of those funds to purchase government bonds, is effectively equivalent to printing money.
The government, however, has repeatedly rejected this claim. According to a previous statement given to Mihaaru News by the Finance Ministry, the transaction involved the MMA purchasing treasury bonds in the secondary market. These bonds had initially been sold by the government to the pension fund, followed by additional bond issuance through the fund.
The ministry described the process as a legitimate and worthwhile financial transaction, insisting it does not amount to monetary expansion.
As debate over the pension fund and government borrowing continues, Inaz’s resignation adds a new layer of scrutiny to how public funds are managed during a period of growing economic pressure.
