Weekly Fiscal Development reports have shown that the recurrent expenditure on salaries and administrative expenses has increased contrary to what the Finance Ministry claimed after suspending the disclosure of figures.
The publication of the Weekly Fiscal Development reports was suspended on June 20, 2024. Up until then, the total expenditure, including both recurrent and capital expenditure, was lower than the same period of 2023.
But the Finance Ministry on Tuesday released its Weekly Fiscal Development reports for all the weeks since June 20, 2024. It shows that salary and pension payments and administrative and operating expenses were higher than the previous year in the week after June 20, 2024.
As costs continued to increase, the government insisted that changes were being brought to cut down expenditures.
According to the latest Weekly Fiscal Development report, recurrent expenditures were even higher. The report shows the expenditure as of October 24, 2024:
- Recurrent expenditure - MVR 27.2 billion (an increase of MVR 2.1 billion)
- Salaries and pensions - MVR 10.2 billion (an increase of MVR 1.2 billion)
- Administrative and operating expenses - MVR 16.8 billion (an increase of MVR 1 billion)
Despite the increase in recurrent expenditures, capital expenditures remain lower than last year. This is because the spending on PSIP projects has been suspended. However, capital expenditure is also expected to rise by the end of the year.
