MMA governor Ali Hashim has stated that a constructive policy to monitor the budgets allocated to councils should be established.
The governor was speaking at the Budget Committee regarding the MMA’s view on the proposed state budget for 2020 when he suggested that a policy to monitor the budget of MVR 1.6 billion in block grants to councils be established.
“A policy on how the budget is to be spent and to monitor and hold councils accountable needs to be established.” said the Governor at the committee meeting.
How will the block grants to councils be distributed?
The changes proposed to the council budgets would see the income of city councils increase by more than 400 percent, atoll councils by more than 150 percent and island councils by more than 140 percent.
The money will be deposited centrally and divided amongst different councils under a fiscal formula, according to President’s Office Policy Secretary Aiminath Shauna. The aid provided will also take into account the population, size of land area, distance to the capital island of the atoll, distance to Male’ city and how the council is run.