The Parliament Budget Committee today approved a supplementary budget of MVR 5.1 billion as proposed by the government, marking a significant financial decision aimed at bolstering resources for the remaining fiscal year. The budget was passed without any amendments, following discussions with key financial stakeholders.
In a session held earlier, the committee summoned Finance Minister and senior officials from the Auditor General’s Office, along with representatives from the Maldives Monetary Authority (MMA), to provide clarifications on the supplementary budget. Following the detailed briefing, committee members moved forward to pass the budget. Mohammed Abbas, Member of Parliament for the Velidhoo Constituency, expressed support, prompting a unanimous approval from all present members.
This supplementary budget comes after the Finance Minister’s presentation last week, which outlined a total budget of MVR 5,119,508,100. Consequently, this latest addition will raise the total budget for the current fiscal year to approximately MVR 55 billion.
The breakdown of the supplementary budget shows MVR 1.5 billion allocated for recurrent expenditures and MVR 3.6 billion for capital expenditures. However, this increase will deepen the budget deficit, projected to reach MVR 18 billion by year’s end—equivalent to 16 percent of the country’s gross domestic product (GDP). Additionally, government debt is anticipated to hit 118 percent of GDP by the end of the year.
Revenue projections in the supplementary budget estimate an additional MVR 640 million from various sources. This includes an expected MVR 61 million from tax revenue, MVR 379 million from other sources, and MVR 199 million in grants.
In a session held earlier, the committee summoned Finance Minister and senior officials from the Auditor General’s Office, along with representatives from the Maldives Monetary Authority (MMA), to provide clarifications on the supplementary budget. Following the detailed briefing, committee members moved forward to pass the budget. Mohammed Abbas, Member of Parliament for the Velidhoo Constituency, expressed support, prompting a unanimous approval from all present members.
This supplementary budget comes after the Finance Minister’s presentation last week, which outlined a total budget of MVR 5,119,508,100. Consequently, this latest addition will raise the total budget for the current fiscal year to approximately MVR 55 billion.
The breakdown of the supplementary budget shows MVR 1.5 billion allocated for recurrent expenditures and MVR 3.6 billion for capital expenditures. However, this increase will deepen the budget deficit, projected to reach MVR 18 billion by year’s end—equivalent to 16 percent of the country’s gross domestic product (GDP). Additionally, government debt is anticipated to hit 118 percent of GDP by the end of the year.
Revenue projections in the supplementary budget estimate an additional MVR 640 million from various sources. This includes an expected MVR 61 million from tax revenue, MVR 379 million from other sources, and MVR 199 million in grants.
