Parliament to Start Debate on Expanded 2026 Budget Tomorrow

Parliament is set to begin debate on the proposed 2026 state budget tomorrow, with each MP allocated up to 22 minutes to speak. The General Purpose Committee confirmed that members will be permitted 15 minutes to debate the estimated budget, followed by an additional seven minutes to discuss the committee report.

The committee further decided that the Finance Minister will receive 45 minutes to respond to questions and comments raised during the debate, matching the time granted last year.

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The government has proposed a budget of MVR 64.2 billion for 2026 — an increase of MVR 8 billion from the current year’s allocation of MVR 56.5 billion. MPs were given seven days to review the proposal ahead of the debate.

According to government projections, revenue for 2026 is expected to reach MVR 40.2 billion. Recurrent expenditure is budgeted at MVR 39.9 billion, accounting for 62% of overall spending and reflecting a 3.3% increase compared with this year. Capital expenditure has been set at MVR 9.3 billion.

The budget shortfall for 2026 is forecast at MVR 8.8 billion. The rise in expenditure is attributed largely to upcoming debt obligations. The government is expected to settle USD 500 million (MVR 7.7 billion) in April 2026 and repay a USD 100 million (MVR 1.5 billion) bond issued in 2022 under former president Ibrahim Mohamed Solih.

Eydhafushi MP Ahmed Saleem has been unanimously elected to chair the committee reviewing the 2026 budget. Saleem, who also heads the Public Accounts Committee, will lead a 22-member review panel drawn from both the Public Accounts Committee and the Economic Affairs Committee. Central Fuvahmulah MP Ali Fazad, chair of the Economic Affairs Committee, was elected as vice-chair.