39 MPs vote to pass MVR 27.9B budget for 2018

39 parliamentarians voted to pass the MVR 27.9 billion projected State budget for 2018 – as recommended by Budget Evaluation Committee – during this Wednesday’s People’s Majlis sitting.

There were 40 MPs present at the Majlis chamber during the voting. 39 MPs voted to pass the budget while one MP abstained.

The Budget Committee made one amendment to the budget submitted by Ministry of Finance, but made no change to the total value of the budget.

The sole amendment by the committee was to reallocate money for construction of a prison at K. Kaashidhoo to a land reclamation project at K. Hura. The amendment was made with the vote of 12 ruling Progressive Party of Maldives (PPM) and Maldives Development Alliance (MDA) MPs at the committee.

Recommendation by the committee to the budget:

- Ministry of Finance should allocate the budget in such a way it does not result in constraints for independent institutions

- 100 percent State-owned companies must be prioritized when issuing contracts for projects involving basic services

- To buy back shares owned by foreign parties in companies such as Dhiraagu and MWSC – which State owns majority shares at

43 percent of the State budget is for capital expenditure and 57 percent of the budget is for recurrent expenditure. The bulk of the MVR 16.1 billion in recurrent expenditure is for salaries and pensions.

State projects MVR 22.4 billion in income and foreign aid for 2018. And MVR 24.9 billion as expenditure. The budget deficit is MVR 2.5 billion.