Budget Committee Sets 19 November Deadline to Complete 2027 Budget Review

The Parliament’s Budget Review Committee has set 19 November as the deadline to conclude its examination of the proposed MVR 59.7 billion state budget for 2027.

The decision was made unanimously at a Budget Committee meeting today at parliament, following a proposal by ruling People’s National Congress (PNC) MP Mohamed Mamdhooh, who represents the Funadhoo constituency. Henveiru North MP Ahmed Aifan seconded the proposal. 

advertisement

advertisement

The committee also decided to summon the Ministry of Finance on 9 November to discuss the proposed budget. Members discussed inviting the Maldives Monetary Authority (MMA) and the Auditor General to provide professional opinions on the budget, in accordance with Article 231 of the Parliament’s Standing Orders. However, dates for these consultations have not yet been finalised. 

The committee also discussed obtaining submissions from independent institutions. Members approved a proposal by Mamdhooh authorising the committee’s administrative desk to receive written submissions and determine which institutions should be consulted.

Following the decision, opposition Maldivian Democratic Party (MDP) MP Ibrahim Nazil, who represents Hithadhoo South, proposed that independent institutions should also be allowed to appear before the committee in person to present their views. Committee members supported this approach. 

The proposed 2027 budget, presented to Parliament by Finance Minister Hassan Zareer last week, amounts to MVR 59.7 billion, representing a reduction of MVR 4.5 billion compared with the budget approved for 2026. 

The government has projected total revenue and grants of MVR 43.2 billion, while net expenditure is estimated at MVR 52.6 billion. The proposed expenditure includes MVR 42.7 billion in recurrent spending and MVR 9.9 billion in capital expenditure, of which MVR 8.2 billion is allocated for the Public Sector Investment Programme (PSIP).

The government has said the budget prioritises expenditure control, improved revenue collection and the completion of ongoing infrastructure projects, while ruling out new taxes on citizens and businesses.

Economic growth in 2026 is projected to slow to between 0.8 and 1.6 per cent, before recovering to between 3.9 and 6.8 per cent in 2027, according to the Finance Ministry’s forecasts.