Minister of Finance Ibrahim Ameer has revealed the Maldives is expected to lose USD 2.3 billion in income due to the COVID-19 pandemic.
Speaking at the training programme for councillors on implementing the financial guidelines, Minister Ameer said the local councils should be diligent in managing expenses within their block grants and income. The minister said the government is also cutting costs in response to the financial challenges during these difficult times, and that the country is expected to lose USD 2.3 billion in income between 2020 and 2022. All state entities should cut costs and make the best use of the income they receive, he said.
Furthermore, Minister Ameer said the first priority is to reduce the debt incurred due to the pandemic by increasing GDP and that the finance ministry will begin implementing this plan in 2022. He also advised the local councils to make use of the new powers and responsibilities granted by the recent amendments to the Decentralisation Act by establishing and supporting local businesses to increase income.