Govt pays MVR 440 million in outstanding bills, says president

President Mohamed Muizzu said on Friday that his administration has so far paid more than MVR 440 million owed to businesses for work carried out under the previous government.

Earlier this month, the President announced that all outstanding payments owed by the government and state-owned companies to Maldivian businesses would be settled within five weeks. Several business owners had expressed concern over unpaid invoices, with some warning that delays were pushing companies towards bankruptcy.

Speaking at a PNC rally held to mark two years of the current administration, President Muizzu said the government was working to stabilise the economy by settling overdue bills. He said payments began on 6 November as previously pledged.

According to the President:

The President criticised the previous administration for accumulating unpaid bills, saying the government would clear all liabilities without printing additional money. “We will not print money,” he said.

In several instances, private companies that provided goods or services to state-owned enterprises have taken their claims to court. The Civil Court has issued multiple orders requiring government-owned companies to settle unpaid invoices.

A report issued by the Interim Office during the change of administration stated that Fenaka Corporation alone owed MVR 3.2 billion to 1,149 suppliers by the end of 2022.