The Ministry of Finance has disclosed that state expenditure on grants and subsidies reached MVR 8.08 billion as of the 13th of this month, marking a 44% increase compared to the same period last year. Subsidies accounted for the most significant portion of this spending; notably, electricity subsidies surged by 78.4% to MVR 3.4 billion, driven by rising fuel costs linked to the conflict in the Middle East. Furthermore, expenditures on block grants for local councils and the national health insurance scheme, Aasandha, rose to MVR 1.4 billion and MVR 1.3 billion, respectively. In contrast, spending on medical welfare saw a 23% decline, falling to MVR 149 million.
