The Privatisation and Corporatisation Board (PCB) has introduced a new Budget Procedure Policy for State-Owned Enterprises (SOEs) aimed at strengthening transparency, accountability, and consistency in the budget processes of all government-owned and government-participating entities. The policy is expected to establish clearer standards in budget formulation and submission, providing a structured approach for SOEs to follow.
According to PCB, the policy sets out essential research and procedural standards that SOEs, commercially operated government bodies, and entities with government participation must adhere to when developing their budgets. Among its requirements, the policy outlines the specific steps for preparing and submitting budget documents to the PCB and the Ministry of Finance, ensuring these are thoroughly reviewed before approval.
Although many SOEs are in the final stages of preparing their budgets for 2025, the PCB has stated that compliance with the new procedures will become mandatory starting with the 2026 budget cycle. In the meantime, SOEs are expected to begin implementing key aspects of the policy, including enhanced budget disclosure practices and internal audit processes, effective immediately.
This policy is part of the PCB’s efforts to standardise financial practices within SOEs, ensuring that budgetary activities align with government oversight standards. For more information and to access the full policy document, visit the PCB website at pcb.gov.mv.
