The Maldives government has said it is working to minimise the economic impact of the ongoing Middle East conflict, as shifting dynamics in global trade raise concerns over supply routes and rising prices.
The conflict, now continuing for over a month, has intensified with the involvement of Yemen’s Houthi group, raising fears over potential disruptions to key maritime routes, including the Bab al-Mandab Strait and the Suez Canal, which are vital for trade between Europe and Asia. Authorities have warned that any disruption to these routes, alongside pressures on the Strait of Hormuz, could have significant global implications.
Officials said such developments are expected to affect the Maldives, particularly through rising global commodity prices. However, the government has assured that essential goods remain available, with measures in place to maintain supply stability.
As part of its response, the government is seeking to diversify import sources by strengthening trade ties with East Asian markets. Efforts are underway to prioritise countries such as Malaysia, Vietnam, Thailand and Indonesia.
Minister of Economic Development and Trade Mohamed Saeed said the current situation presents an opportunity to expand commercial engagement with these markets.
“Previously, goods were imported from Indonesia, Thailand, Malaysia and Vietnam, but without deeper commercial links. We are now working with the Ministry of Foreign Affairs to make better use of these opportunities,” he said.
The minister also highlighted the role of the Maldives’ Free Trade Agreement with China in facilitating trade, noting that such agreements help ease barriers and support continuity in supply.
While no similar agreement exists with India, officials said the country continues to prioritise exports to the Maldives. Discussions are ongoing to further strengthen trade relations between the two countries.
“China and India are among the world’s largest markets and remain key partners. Both countries have been working closely with us to ensure continuity in trade,” Minister Saeed said.
The government added that air cargo services from the Middle East remain operational, and oil imports which are primarily sourced through Oman have not been disrupted despite tensions in the region.
Authorities said they are continuing to strengthen international partnerships to ensure the steady availability of essential goods, while preparing for potential escalation in global conditions.