The World Bank expects Maldives economy to experience steady growth at a rate of 4.3 percent per annum for the next two years mostly aided by the ever improving tourism industry.
According the Global Economic Prospect Report released by the World Bank, growth in Maldives rose to 3.5 percent in 2016, driven by construction and public infrastructure spending.
The report stated that Maldives is foreseen to post an average growth of 4.3 percent in 2017-19, following a rebound in tourism.
The statistics of the report also show that the Maldivian GDP will increase by 3.9 percent, and that the GDP would rise to 4.6 percent by 2019.
Listing it's concerns for the Maldives, the World Bank noted that the numerous loans taken to fund the infrastructure programs have added to the country's growing list of debts, and stating that the political unrest in the country could prove a major obstacle.
The World Bank also expressed concerns on the growing debt of other countries in the South Asian region, including India and Pakistan.
According to the report, the interest rates of the investors would increase causing numerous difficulties to the Maldivian economy should the political unrest in the country continue.
The report also noted that the growing instability in the region and security risks were contributing to the problems faced by all the countries in this area, stating that the additional budget being allocated for security was hiking up the expenditure of the government.
The report also suggested that due to lack of probability in the increase of oil prices for this year, the inflation of the region would be maintained at below 6 percent.
India has been predicted to retain it's place as the country with the largest economic growth in the region, with India expected to see a growth of 7.6 percent, with the average growth for the region predicted to fall around 7.1%.
