The government aims to expand the economy to USD 10 billion (MVR 152 billion) by the end of the term in 2028, Finance Minister Moosa Zameer said today as he presented the State Budget 2025 to the Parliament.
Zameer said the main reason for the deterioration of the state's fiscal situation was the printing of money by the former government and that the state is spending MVR 23 from every MVR 100 to repay the debt because a proper financing plan has not been formulated.
"Due to the implementation of a destructive fiscal policy in recent years, the state finances have been exposed to ruin. The obvious end result is that the entire country is exposed to danger and destruction," Zameer said.
He claimed the current government has to work from scratch to achieve positive results and the country they want cannot be built without addressing the systemic problems facing the country's finances.
The main task to solve the financial problems is the implementation of economic reforms. Zameer said the reforms would be implemented from next year in accordance with the proposed budget.
"President Dr. Mohamed Muizzu envisions addressing these issues through the implementation of the Economic Reform Agenda approved by the current Cabinet, raising the country’s GDP to USD 10 billion by 2028," he said.
He also noted that the government aims to establish economic centers in the north and south of the Maldives by the end of this term. The government aims to establish urban centers to facilitate regional development as per the manifesto, he added.
The economy was valued at USD 6.5 billion as a percentage of GDP last year. The GDP per capita was USD 12,667.
