According to the latest fiscal report, the state generated MVR 6.7 billion from Tourism Goods and Services Tax (TGST), marking a 7.7% increase compared to the previous year. Total revenue from Goods and Services Tax (GST) rose by 9% to reach MVR 9.7 billion, while total state revenue, including grants, climbed to MVR 23 billion. Although grant income saw a significant surge of 130.3%, non-tax revenue experienced a slight decline.
On the expenditure side, total state spending rose to MVR 24.5 billion, representing a 21% increase year-on-year, driven largely by substantial hikes in subsidies and grants to local councils. Notably, spending on subsidies surged by 86.3%, alongside increases in personal emoluments and capital expenditure. Despite these rising costs leading to a budget deficit of MVR 1.5 billion, the primary balance—excluding debt repayments and interest—remains in surplus.
