Maldives' new president warns state coffers 'looted' after China-led boom

Maldives' President-elect Ibrahim Mohamed Solih (L) takes the oath conducted by Chief Justice Dr Ahmed Abdulla Didi (R) during the swearing-in ceremony in Male, Maldives November 17, 2018. REUTERS/Ashwa Faheem

MALE (Reuters) - The new president of the Maldives took office on Saturday, declaring the state coffers to have been looted and warned that the country was in financial difficulty after racking up debt with Chinese lenders in an infrastructure boom.

The Maldives, famous for its luxury resorts on palm-fringed islands, is the latest in a number of small countries where China has invested millions of dollars building highways and housing as part of its Belt and Road Initiative.