President Dr Mohamed Muizzu has announced that the 2025 budget is structured to promote economic justice by redistributing wealth and addressing the imbalances within the current system. The President made these remarks during his address at the Republic Day celebrations held at Dharubaaruge on Sunday evening.
The President explained that next year’s budget has been shaped in consultation with international financial institutions, incorporating necessary reforms in key areas such as the subsidy system, the Aasandha insurance scheme, the pension system, and state-owned enterprises (SoEs). However, he assured the public that the budget would prioritise better support for the most vulnerable and those in greatest need.
Referring to the Administration’s efforts to secure economic prosperity, the President emphasised that the Government had not resorted to printing money to address the country’s economic challenges, and this would not be a strategy used in the future. He also confirmed that deficit financing through borrowing had been halted.
The President highlighted that over the past year, the Government had started recovering outstanding funds, which has contributed to a reduction in the national debt. He also noted that, through collaboration with the people, all bills under MVR 5 million had been settled. The Government’s aim, he added, is to strengthen the economy by improving the financial well-being of the citizens.
President Dr Muizzu also discussed the Government’s initiatives to diversify and reform the economy, including facilitating the introduction of banking services, establishing the International Finance Services Authority, and exploring the use of digital currency. He further mentioned ongoing efforts to establish free trade agreements with China and Turkey, with plans to pursue similar agreements with India and the UK.
Additionally, the President indicated that the opening of the new terminal at Velana International Airport would usher in a new era for tourism in the Maldives, with a target of attracting over 2 million tourists.
