Maldives: Technical Assistance Report-Financial Soundness Indicators Mission
IMF Staff Country Reports, October 3, 2023
Source details
- Canonical URL
- Maldives: Technical Assistance Report-Financial Soundness Indicators Mission
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Bibliographic details
- Published: October 3, 2023
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400254512.002
Overview
- Technical Assistance report summarizing a financial soundness indicators (FSI) statistics mission carried out in collaboration with staff of the Maldives Monetary Authority.
- Mission activities included updating existing bridge tables to compile FSIs for deposit takers (DT) and developing new bridge tables for insurance corporations (ICs), other financial corporations, and households for reporting to IMF’s Statistics Department.
Main findings
- Source data for compiling FSIs:
- For deposit takers (DTs) and insurance corporations (ICs) are broadly adequate and generally meet the criteria established by the 2019 FSIs Guide for publication on the FSIs data portal.
- Accounting and regulatory frameworks:
- Commercial banks operating in Maldives have adopted the International Financial Reporting Standard 9 (IFRS 9).
- Capital adequacy ratios of banks followed mainly the Basel I framework.
- Definitions and classification:
- The mission reviewed the definitions of nonperforming loans and liquid assets and identified the need to update those definitions in line with the 2019 FSIs Guide and IFRS 9.
Recommendations
- Update definitions and methodological guidance:
- Revise the definitions of nonperforming loans to align with IFRS 9 and the 2019 FSIs Guide.
- Revise the definition of liquid assets to align with the 2019 FSIs Guide.
- Metadata and reporting:
- Publish new metadata and institutional coverage report forms accompanying the publication of FSIs.
- Data compilation enhancements:
- Maintain and use updated bridge tables for DTs.
- Implement the newly developed bridge tables for ICs, other financial corporations, and households to ensure consistent reporting to IMF’s Statistics Department.
Key points for users and stakeholders
- Coverage improvements:
- FSIs reporting expanded beyond deposit takers to include insurance corporations, other financial corporations, and households through newly developed bridge tables.
- Alignment with international standards:
- Progress toward alignment with the 2019 FSIs Guide and IFRS 9, with remaining work recommended on definitions and metadata publication.
International Monetary Fund
Content in this bundle
- 1mdvea2023003