PCB orders slicing salaries of SOE chiefs to MVR 90,000

The Privatization and Corporatization Board (PCB) on Thursday has ordered to reduce the salaries of heads of state-owned enterprises (SOEs) to MVR 90,000.

PCB made the demand in a circular it issued Thursday regarding the remuneration and allowances of SOE employees.

In the circular, PCB said the measure was ordered by President Dr. Mohamed Muizzu aligned with the government’s cost cutting measures, and will remain effective for the next two years.

The SOE watchdog authority in its circular said that directors who received a remuneration, inclusive of allowances, exceeding MVR 90,000 should be given a salary no more than MVR 90,000. This measure is extended only local directors of SOEs, as foreign directors have been exempted out.

PCB also demanded amending the employment contracts for such employees, with the exemption of technical staff.

The measure will remain effective for a two-year period starting from this January across all SOEs except for the banks.

While PCB has announced cost cutting measures across all SOEs, President Muizzu had earlier announced his decision to reduce the remuneration of himself and parliament members by 50 percent during 2025; which would also remain effective for a two-year duration.