STO is bankrupt: President Yameen

President Abdulla Yameen Abdul Gayoom has said the State’s main wholesale and retail arm, the State Trading Organization (STO), is bankrupt.

Speaking to Progressive Party of Maldives (PPM) supporters in Lale Youth International School, Hulhumale’ on Friday night, President Yameen said importing oil through STO is now a burden for the State.

“Not only does STO not have dollars, it does not have Maldivian Rufiyaa either. Funding the oil import through STO is now a burden for the State,” President Yameen said.

Reflecting on his former years managing the company, President Yameen said the profit made through STO had contributed to a number of commercial projects and that by the time he left the company, STO was making a profit of MVR 154 million.

“I checked today where STO is now. By the time I left STO, the company had developed many commercial projects and STO was making MVR 154 million in profit. Today, STO is bankrupt. I am telling you, it is bankrupt. STO does not have money,” President Yameen said.

Rebutting claims that he had attained undue advantages during his days as a member of the board of directors at STO, President Yameen said that asking the President’s Office to increase the board member's allowance from MVR 100 to MVR 1000 was the only step he had taken towards gaining a better personal income.

Speaking at the event, Vice President Dr Mohamed Jameel Ahmed promised development for Hulhumale’ and said the artificial island will be made particularly attractive to young people.