The Parliament of the Maldives has passed the USD3.2 billion state budget for 2024. The budget passed with 65 votes in favour.
The government proposed the USD3.2 billion state budget, which was evaluated by a joint committee consisting of members of the parliamentary public finance committee and the committee on economic affairs. The joint committee had summoned members of independent and financial institutions to discuss the budget.
The committee included several amendments to the budget before its approval, raising the initial budget amount by USD20 million. The budget was approved after decreasing the funding for some projects and increasing the funding for other projects. In addition, the USD26 million allocated for the Fushidhiggaru Falhu reclamation was removed during the committee stage and the amount was distributed to other projects under the Public Sector Investment Programme (PSIP).
During the debate stage, parliamentarians expressed concern over the omission of the Fushidhiggaru Falhu project. Some members said that it was a great loss to the citizens while others said that it was the right decision as priority should be given to the housing projects that are already underway.
The budget deficit for next year is expected to be USD914 million, with the government debt-to-GDP ratio expected to reach 114.6%. The Maldives is also expected to receive USD2.2 billion in revenue and grants in 2024, out of which grants are estimated to constitute USD78 million.