Maldives spends MVR 2.5 billion on loan repayments by mid-April

Maldives government spent MVR 2.5 billion on loan repayments as of 17 April 2025, according to the Weekly Fiscal Developments report released by the Ministry of Finance on Tuesday.

This represents a 175.9 percent increase in loan repayment expenditure compared to the same period last year.

The reported loan repayments include a USD 100 million payment made to Cargill Financial Services in March 2025.

The report also notes that total recurrent and capital expenditure has decreased by 25.3 percent compared to the corresponding period last year. As of 17 April, 19.3 percent of the total expenditure allocated in the 2025 budget has been utilised. Of the total expenditure, 92.2 percent was spent on recurrent items, while capital expenditure accounted for 7.8 percent.

In terms of revenue, the government has received 29.3 percent of the total revenue and grants estimated in the 2025 state budget. Tax revenue comprised 77.1 percent of this figure, and non-tax revenue made up 22.3 percent. Total revenue and grants rose by 5.4 percent year-on-year.

Revenue generated from taxes on the value of goods and services increased by 6.7 percent compared to the same period in 2024. Tourism Goods and Services Tax (TGST) rose by 8.0 percent, while General Goods and Services Tax (GGST) grew by 3.4 percent.

Additional growth was noted in revenue from departure taxes and airport development fees, which was attributed to revised tax and fee rates introduced in January and an increase in tourist arrivals.

Despite higher business income and personal income tax collections this year, the state had received MVR 426.0 million in advance as bank profit tax and MVR 946.9 million in other business and property taxes during the same period last year.

As of 17 April, non-tax revenue reached MVR 2.6 billion, accounting for 32.7 percent of the target set in the 2025 budget.