Minister of Finance Moosa Zameer has remarked that while previous administrations frequently discussed implementing significant reforms to improve the financial system, they failed to take any meaningful action.
In an exclusive interview with PSM News, Minister Zameer highlighted President Dr. Mohamed Muizzu's commitment to curbing wasteful spending by ministries and state-owned companies. He praised the president’s decision to halt the printing of money, describing it as a difficult yet necessary step to reform the economy. The minister emphasised that, while increasing state revenue is important, it is equally critical to prioritise cost-efficiency and savings. He commended the president's decisions, noting that they were economically beneficial and aimed at strengthening the financial sector.
Furthermore, Minister Zameer stated that the subsidy system being transitioned to one which grants assistance to those most in need, is the kind of system implemented in most of the developed states. He acknowledged potential challenges during the transition but assured that it would yield long-term benefits. The minister also discussed plans to import medicine in bulk to reduce the wasteful expenditures of Aasandha Company Limited, highlighting that medicine costs in the Maldives are 70% higher than in neighbouring countries.
Additionally, Minister Zameer stated that the decision to increase TGST by 1% was taken to minimise the loss to businesses within the industry, with the government projecting an additional USD 12.97 million in revenue as a result. The minister also revealed that efforts are underway to address the issue of loans, adding that a strengthened system to manage state expenses has been established.