State Funds Need Additional MVR 12 Billion for 2020

An additional MVR 12 billion is needed for state funds, Finance Minister Ibrahim Ameer revealed.

Speaking in the Parliament’s Economic Committee on 17th June, Minister said that MVR 29.9 billion was estimated to receive as aid. He also noted that the state’s expenses were very low due to the COVID-19 pandemic.

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Though it is now certain that MVR 15.18 billion would be received as foreign aid, the exact amount Maldives has received so far was not specified by the Minister.

“There is a financial gap of around MVR 16-17 billion for next year. And for this year, we still have to source MVR 12 billion. said the Minister. The estimated overall fiscal deficit of the country is now MVR 15.8 billion, according to the Minister.

“We can estimate that the state would earn MVR 19 billion as income and aid next year. We are estimating that the fiscal deficit would increase to MVR 14.4 billion.” said the Minister. It was also expected that the GDP of the country would suffer and to stand at 11.5% as opposed to the initially projected growth of 7.5 percent.

“We estimated to welcome 1.7 million tourists in the beginning of the year. However, now we are estimating 980,000 tourists to arrive.” Minister also said that the deficit of the state budget would be around MVR 12 billion.

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