Ministry of Finance has revealed the Maldives has received USD1.1 billion in cumulative revenue and grants so far in the year.
The latest weekly fiscal developments report published by the finance ministry shows that the revenue received as of August 11 this year is a 47% increase compared to the USD761 million received in the same period last year. A large part of the state revenue was received from tax revenue amounting to USD820 million, which is an increase compared to the USD540 million received in the same period last year. The report shows that the state received tax revenue mostly in the form of import duties amounting to USD110 million, Business and Property Tax (BPT) amounting to USD228 million, and Goods and Services Tax (GST) amounting to USD397 million.
Meanwhile, the expenditure for this year has reached USD1.6 million, which is a 13% increase compared to the same period last year. The majority of the expenditure went to recurrent expenditures such as administrative and operational expenses as well as paying salaries, wages, and pensions, which totaled USD1 billion. The government has spent USD416 million for paying salaries, wages and pensions so far this year, while USD644 million was spent on administrative and operational expenses. Around USD156 million was spent on subsidies, which is an increase compared to the USD57 million spent in the same period last year.
The tourism industry has grown since the COVID-19 outbreak and the government has been taking measures to respond to the rise in fuel and commodity prices in the global market due to the Russia-Ukraine conflict. The government has stated the economy is expected to return to pre-pandemic levels later this year.