Maldives and Turkiye Trade Pact Enters Force to Boost SME Exports

A Preferential Trade Agreement (PTA) between the Maldives and Turkiye officially came into force on August 1, 2026, marking a strategic move to strengthen economic ties and expand international trade opportunities for both nations. Ibrahim Ziyau Mohamed, Managing Director of the Business Centre Corporation (BCC), described the agreement as a pivotal achievement that aligns with President Dr. Mohamed Muizzu’s economic vision. According to Ziyau, the pact underscores the government's commitment to fostering economic growth by opening new doors for local enterprises to engage with global markets. A primary objective of the agreement is the empowerment of small and medium enterprises (SMEs). By reducing trade barriers, the PTA is expected to provide local businesses with the necessary leverage to innovate and compete on an international scale. This initiative is central to the government's broader strategy of transitioning the Maldives toward an export-oriented economy, reducing reliance on imports and integrating local producers into the global value chain. The roadmap to this agreement began in November 2025, when the PTA was signed during President Muizzu’s inaugural official visit to Turkiye. Following the signing, both governments underwent a series of legal procedures and exchanged final written notifications to ensure the framework was fully compliant with both nations' regulations before the August implementation date. As the agreement takes effect, Maldivian businesses are expected to benefit from improved market access in Turkiye, while the Maldives looks to diversify its trading partners and enhance the visibility of locally made products abroad.