The High Court issued a statement yesterday saying the girl, whose step-father is on trial for raping her, had been wrongly convicted by a juvenile court of having pre-marital sex with another man.
The court said the sentence was handed down based on a confession that the child made while she was suffering from post-traumatic stress disorder, adding she had been "unfit for trial".
The Maldivian government appealed on behalf of the teenager following an international outcry over the February sentence to punish her with 100 lashes when she reached the age of 18.
Premarital sex is illegal in the Maldives, a popular honeymoon destination in the Indian Ocean, which observes elements of Islamic Sharia law as well as English common law.
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Maldivian President Mohamed Waheed was "overjoyed" with the High Court decision, his spokesman told AFP today.
"It is the government's policy to protect victims, but we had to do it within the framework of the law," spokesman Masood Imad said.
He also lashed out at the international outcry over the case, saying the government had been unfairly targeted.
"Since the new government came to power (in February 2012), not a single flogging has been carried out in this country," Imad said.