Inner Maldives CEO Mohamed Firaq has said state-owned enterprises (SOEs) should prioritize reducing unnecessary expenditure rather than focusing on finding new sources of foreign currency.

Firaq’s remarks follow the announcement by MWSC of its intention to enter the tourism sector. He noted that while SOEs often explore ways to access foreign funds due to current economic challenges, their main priority should be streamlining operations and eliminating wasteful spending.

He suggested that SOEs could centralize imports through STO to simplify processes, reduce duplication, curb corruption, and improve efficiency. Firaq also criticized the tendency of SOEs to pursue unrelated business ventures, citing past examples where state-owned companies were tasked with resort development, which ultimately disrupted resources and created opportunities for corruption.

He stressed that SOEs should focus on their core objectives to operate more effectively and contribute strategically to national economic goals. According to Firaq, rationalization is not about burdening management but about preventing financial losses and ensuring businesses remain sustainable.

Firaq emphasized the importance of creating a coherent system for SOEs that avoids unrelated ventures and supports long-term stability.