Minister of Finance Ibrahim Ameer has stated the aim for the next two years is to guarantee the debt and fiscal strategies in accordance with the financial situation following the COVID-19 pandemic. He made the statement in a meeting with the Parliament Committee on Public Accounts.
In the meeting, Minister Ameer noted the fiscal strategy of the Maldives in 2020 was based on responding to the health emergency following the COVID-19 pandemic and reducing the harm and damages incurred by citizens and businesses. He said the fiscal strategy was based on continuing the government's recovery efforts this year, while the fiscal strategy for the next two years will be based on stabilising the debt in accordance with the financial situation.
Minister Ameer highlighted the need to make major changes in order to implement the work, which includes reducing the debt-to-GDP to 105% by 2023 from the current level of 115%. The minister said the government should also work to reduce the budget deficit by 5% by 2023 and to reduce the state deficit and state debt each year. He said the purpose of these goals is due to compensating for the reduced state income and the need to take up more debt from international institutions.