TGST Revenue Hits MVR 6.7 Billion, Boosting State Income

Tourism Goods and Services Tax (TGST) generated MVR 6.7 billion in revenue by July 16, according to the Ministry of Finance's latest Weekly Fiscal Development Report, helping drive growth in state revenue.

TGST collections increased by MVR 475 million, or 7.7 percent, compared to the same period last year. Combined revenue from TGST and General GST reached MVR 9.7 billion, up 9 percent, while General GST alone rose 12.1 percent to MVR 3.0 billion.

Overall tax revenue climbed 11.3 percent to MVR 17.6 billion, bringing total state revenue, including grants, to MVR 23.0 billion, a 9 percent increase from a year earlier. Grant income more than doubled to MVR 438.8 million, while non-tax revenue fell slightly to MVR 4.9 billion.

On the spending side, government expenditure rose 21 percent to MVR 24.5 billion. Subsidy spending nearly doubled to MVR 3.1 billion, while grants to local councils increased 16 percent to MVR 1.5 billion.

As a result, the budget recorded a deficit of MVR 1.5 billion, compared to a surplus of MVR 817.3 million during the same period in 2025. However, the primary balance remained in surplus at MVR 1.2 billion.