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WDCs to Receive Historic Budget Boost Under President Muizzu’s 2026 Fiscal Plan

President Dr Mohamed Muizzu has unveiled a sweeping set of budgetary and administrative reforms aimed at bolstering the capacity and influence of Women’s Development Committees (WDCs) across the Maldives. The changes, which will be reflected in the 2026 State Budget, include a doubling of financial allocations, a revised mechanism for Ramadan allowances, and a broader reassessment of the fiscal formula governing block grants.

The announcement, made via the president’s official X account, confirmed that WDCs will receive 10 percent of council budgets beginning in the 2026 fiscal year, up from the current five percent. This increase is intended to strengthen the committees’ operational reach and reinforce their role in local governance.

Adjustments to member compensation were also outlined, with Ramadan allowances set to be issued directly from council budgets beginning next year, replacing the previous practice of drawing from WDCs’ operational funds. Introduced only last year under the administration of President Muizzu, the allowance has now been elevated to the status of an official salary, reflecting the government’s formal recognition of committee members’ contributions.

These reforms align with President Muizzu’s broader agenda, which places particular emphasis on empowering WDCs and island councils as pillars of decentralised governance.

The timing of the announcement coincides with preparations for the 2026 State Budget. As part of this process, the Ministry of Finance and Planning is reviewing the fiscal formula that determines block grants, an essential source of funding for local councils. Councils have been instructed to submit detailed medium-term budgetary information by 18 September.

Once submissions are received, the proposed budget will be presented to the cabinet of ministers between 19 and 23 October. The final estimated State Budget for 2026 is scheduled for submission to Parliament on 30 October.