WTO accession
31 May 1995
Population
320,081
Per capita growth rate (%)
5.1
WB Ease of Doing Business rank
96
Share of international non-oil trade (%)
0.781
Value of non-oil goods traded (in US$ million)
198
Logistics performance Index (LPI)
2.4
2011 data - Sources: UNCTAD, World Bank, WTO, UN Comtrade

The Maldives joined the Integrated Framework (IF) in 2004 and undertook preparations on a Diagnostic Trade Integration Study (DTIS) which was validated in November 2006. The DTIS was integrated into the 7th National Development Plan.

Description of the projects (objectives and interventions)

The DTIS was integrated into the 7th National Development Plan and subsequently, four project proposals were implemented under the IFTF Window II in 2008 with the focus on institutional capacity building, policy advice and trade facilitation. Specific projects interventions pursued under IF Window II include; (i) institutional capacity building of the Ministry of Economic Development ("MED") as the nodal agency for trade policy making; (ii) establishing a trade information system; (iii) supporting services negotiations in the South Asian Association for Regional Cooperation ("SAARC") and WTO; and (iv) supporting upgrading ASYCUDA software of the Maldives Customs Services. IF Window II funded projects were completed by Dec 2010.

With the change of administration in Nov 2008, the DTIS Action matrix was mainstreamed to the Strategic Action Plan 2009-2013 formulated by the government.

Main progresses to date

Following the EIF Board Decision in July 2010, Maldives was granted automatic extension of full EIF benefits after graduation from LDC status. The Maldives' Tier 1 support to National Implementation Arrangements ("NIAs") project is under implementation since January 2011.

The Maldives has also submitted Tier 2 project ideas on; (i) Strengthening capacity of trade facilitation institutions focusing on (a) customs modernization with full migration to ASYCUDA World and (b) strengthening regulatory capacity of the Civil Aviation Authority to implement a robust economic regulatory framework to engage private sector in management of airport infrastructure; and (iii) integrating of Micro, Small Medium Enterprises (MSMEs) to the tourism sector value chain.

The first Tier 2 project on Trade facilitation was approved by the EIF Board on 30 May 2013. Operationalization of the project is underway with the signing of the MOU with UNOPS on 05 August 2013.

Outlook

The outlook for EIF activities in the Maldives is positive. While the on-going democratic transition process and on – going political disturbances have impacted smooth project implementation in 2012, project implementation has gained momentum once again 2013.   

With the first Tier 2 project approved, the country is preparing to submit additional Tier 2 projects with significant Government support. Second Tier 2 project is planned to be submitted for EIF Board approval by the year end.

Some of the key achievements of Tier 1 project to-date includes; (i) formulation of a national economic diversification strategy (http://www.trade.gov.mv/downloads/aaaaaaaaaaaa77_MEDS.pdf); (ii) Submission of formal application to seek accession for EU GSP + scheme  (iii) initial assessments towards setting a single window system for trade facilitation in the Maldives; (iv) capacity building of 80 tax officials to effectively implement Goods and Service and other related taxes in Maldives; (v) capacity of 25 trade officials on trade facilitation related areas, particularly on implementation of a single window system.

With implementation momentum build up and with additional Tier 2 projects in the pipeline, the country will be seeking an extension for the Tier 1 project. Mid-term evaluation of the first phase is planned for the last quarter.

In addition, the country plans to submit a Tier 1 proposal to undertake a DTIS review early next year.

 

 

Outcome 1: Sufficient Institutional and management capacity built in EIF countries to formulate and implement Trade related strategies & implementation plans
Outcome IndicatorBaseline2013201420152016
O1.1 Tier 1 ' Support to NIAs' project completed or under implementationYesYes
O1.2 EIF Country with complete, up-to-date validated DTIS Action MatricesYesNo
O1.3 Level of capacity of NIU to perform fiduciary programme management for Tier 1 projectN/A2
O1.4 Country with up-to date trade strategiesYesYes
O1.5 Country with quality trade strategy22
O1.6 Country with quality trade strategy implemented43
Outcome 2: EIF countries mainstream trade into their national development strategies and plans
Outcome IndicatorBaseline2013201420152016
O2.1 Trade in PRSP and/or National development strategies33
O2.2 Existence of productive sector strategies integrating the trade dimensionYesYes
O2.3 Functioning public/private consultation mechanism11
Outcome 3: Coordinated delivery of trade related resources (funding, TA etc.) by donors & implementing agencies to implement country priorities following adoption of DTIS Action Matrix
Outcome IndicatorBaseline2013201420152016
O3.1 Availability of an annual rolling implementation overview integrating all trade-related government & donor-supported activities (including gender & environment)YesYes
O3.2 Frequency of government and donor consultations on trade-related matters43
O3.3 UN CEB Cluster activities based on DTIS Matrix priorities in EIF CountriesYesYes
O3.4 Country with joint donor initiatives in the trade area (such as need assessment; strategy formulations; programming; pooled funding; M&E; etc.)NoYes
Outcome 4: EIF Countries secure resources in support of initiatives that address DTIS Action Matrix priorities
Outcome IndicatorBaseline2013201420152016
O4.1 Country with implementation plan integrating DTIS/Action Matrix priorities and indicating financing needs to be met through ODAN/A2
O4.2 Country where a Government budget exists for implementation of its trade strategyNoYes
O4.4 Number of projects funded by donors related to the DTIS Action Matrix27
O4.4.1 Amount of projects funded by donors related to the DTIS Action Matrix (Million USD)2.731.97

Expected results for 2013 include continual and successful implementation of the Tier 1 project. Additionally, it is expected that a Tier 2 project concerning the improvement of the customs soft infrastructure will be finalized and submitted to the EIF Board and another Tier 2 project developed, which will address the integration of the local industry in tourism value-chains.

NIA Support (T1 Phase 1 and 2)

Starting date / End date
24/01/2011
Approved Budget
1,500,000
Board Approval Date
22/12/2010
Disbursement
1,200,000
Expenditure Reported
1,138,394
MOU Approval Date
19/01/2011
MOU Expiry Date
31/07/2017
Phase
Implementation

Strengthening institutional capacity of key national trade facilitation agencies

Starting date / End date
08/10/2013
Approved Budget
1,557,838
Board Approval Date
30/05/2013
Disbursement
1,527,838
Expenditure Reported
1,320,607
MOU Approval Date
05/08/2013
MOU Expiry Date
31/12/2016
Phase
Implementation

ES - Other

Ms. Shoko NODA
Resident Representative
UN Maldives
9th Floor, Edhuruhiyaa Falhumathee Magu
Male, Maldives
Tel: +9603343229

Focal Point

Mr. Yusuf RIZA
Permanent Secretary
Ministry of Economic Development
Boduthakurufaanu Magu
Malé, Maldives
Tel: +960 323 668, +960 315 596, +960 315 597

NIU Coordinator

Ms. Saeeda UMAR
Ministry of Economic Development
Boduthakurufaanu Magu Ameeru Ahmed Magu, Malé 20-125
Male’, Maldives
Tel: +960 333 31 36

NSC Chairman

Mr. Mohamed AHMED
Minister of Economic Development
Ministry of Economic Development
Boduthakurufaanu Magu
Male, Maldives
Tel: +960 333 3100

UNDP Contact

Ms. Aishath Raniya SOBIR
Poverty Reduction, Assistant Resident Representative
UNDP
UN Building, Buruzu Magu
Male’, Maldives
Tel: +960 334 32 74

Other

Mr. Abdulla AMEEN
State Minister of Economic Development
Ministry of Economic Development
Boduthakurufaanu Magu
Male, Maldives
Tel: +960 333 3100
Implementing IPoA: The role of the EIF
Maldives Annual Progress Report 2013
7th National Development Plan: Creating New Opportunities (2006-2010)
Maldives Diagnostic Trade Integration Study Volume 1 2006
Maldives DTIS Action Matrix 2006
Aide-Mémoire Main Mission
Glimpses from Comoros, Lesotho, Maldvies and Vanuatu
A world without Least Developed Countries (LDCs): Towards a Better Framework to Assist Structural Transformation for LDC Graduation
Maldives: A Trade and Investment Pathway for Post-Graduation
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