The Maldivian Government reported a fiscal surplus of MVR 1.3 billion in the first 10 weeks of the current financial year, with revenue outpacing expenditure, according to the Ministry of Finance.

The latest Weekly Fiscal Development report, published by the Ministry, indicates that between January 1 and March 13, state revenue reached MVR 7.8 billion, while Government expenditure stood at MVR 6.5 billion.

During this period, Government revenue experienced a 5.4 per cent increase compared to the corresponding timeframe last year, rising from MVR 7.4 billion to MVR 7.8 billion. Of this total, MVR 6.3 billion was generated from tax revenue, while non-tax revenue contributed MVR 1.5 billion. Additionally, the Government received MVR 43.9 million in grants.

Expenditure at the end of the 10-week period amounted to MVR 6.5 billion, reflecting a 16 per cent decline compared to the previous year, when Government spending stood at MVR 7.8 billion. A substantial portion of this expenditure—MVR 6.1 billion—was allocated to recurring expenses, while capital expenditure for the period totalled MVR 428 million, according to the Finance Ministry’s report.

The simultaneous increase in revenue and reduction in expenditure is largely attributed to the Government’s ongoing efforts to strengthen financial discipline. In his Presidential Address earlier this year, President Dr Mohamed Muizzu highlighted the long-standing issue of excessive Government spending and reaffirmed his commitment to addressing this challenge. Since assuming office, President Dr Muizzu has prioritised economic recovery.