Parliament has reviewed the government’s Economic Reform Agenda, which seeks to reduce state expenditure over the next two years. The measures, submitted for approval, were referred to the Standing Committee for further evaluation.
As part of the reforms, President Dr Mohamed Muizzu proposed salary reductions across various sectors. The plan includes a 10 percent reduction in the salaries of all political appointees, as well as employees of state-owned enterprises, excluding banks. For company heads in these enterprises, a salary cap of MVR 90,000 has been set. Additionally, a 10 percent reduction was proposed for the salaries of heads of independent institutions, judicial officials, and Members of Parliament. The President has also halved his own salary from MVR 100,000 to MVR 50,000. The government maintains that these measures are necessary to align public expenditure with broader economic objectives.
Beyond the economic reforms, Parliament also addressed several key matters. Approval was sought for changes in ministerial composition, including the merger of the Tourism and Environment ministries. Minister Thoriq Ibrahim was confirmed in connection with this restructuring. The appointments of the Vice-President of the Anti-Corruption Commission and the Elections Commission were also discussed. Additionally, the first reading of the proposed amendment to the Decentralisation of Administrative Areas Act took place.
These discussions mark the latest efforts to implement fiscal discipline while streamlining governance structures to enhance efficiency.
