Government’s MVR 28.1 Billion Spending Supports Subsidies, Services and Development

The Maldivian government has spent MVR 28.1 billion as of August 13, 2026, with increased allocations supporting subsidies, social protection, public services, salaries and development projects.

According to the latest Weekly Fiscal Development Report published by the Ministry of Finance and Public Enterprises, total expenditure has increased by 19.3 percent compared with the MVR 23.5 billion spent during the same period last year.

A significant portion of the increase has gone towards subsidies and social support programmes. Government spending on subsidies reached MVR 3.5 billion, a 78.4 percent increase from MVR 2 billion last year. Combined spending on grants and subsidies rose 44.1 percent to MVR 8.1 billion.

Aasandha expenditure increased by 14.7 percent to MVR 1.4 billion, while spending on other grants and benefits rose 58.4 percent to MVR 1.6 billion. The latter includes the Judiciary Sectoral Grant, which supports the financial independence of the justice system.

The government also spent MVR 9.4 billion on salaries, allowances and pensions, supporting public-sector employees and pension commitments. Administrative and operational expenditure reached MVR 15 billion, reflecting increased spending on government operations and public services.

Capital expenditure rose 9.1 percent to MVR 3.6 billion, with spending on land and buildings increasing 46.2 percent to MVR 1.2 billion. Expenditure on the acquisition of capital assets also increased by 19.4 percent to MVR 451.5 million.

Meanwhile, the government recorded MVR 3.6 billion in spending under the Public Sector Investment Program (PSIP).

Despite the higher expenditure, the state recorded a primary surplus of MVR 2.4 billion as of August 13. The overall budget balance stood at a deficit of MVR 950.3 million.

The expenditure figures demonstrate continued government investment in social protection, public services, employee commitments and national development projects, while maintaining a positive primary fiscal balance.