The state is bleeding roughly MVR 2.5 billion every year in lost customs revenue due to widespread fraudulent invoicing and deliberate under-valuation of imported goods, Deputy Speaker of the People’s Majlis and MP for Eydhafushi Constituency Ahmed Saleem has warned.
Speaking during parliamentary committee deliberations on the proposed state budget, Saleem raised serious concerns over significant leaks in import duty collection, pointing out that importers routinely conceal the true purchase value of goods arriving in the country.
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“The primary reason these revenues never reach the state is deliberate under-invoicing. Importers submit declared invoices showing only 30, 40, or 50 per cent of the actual value. This widespread evasion causes massive financial haemorrhaging to public finances,” Saleem said.
Official financial records show the state collected MVR 2.7 billion in import duty up to October this year. According to Saleem’s estimates, rampant under-invoicing deprives Maldives Customs of nearly half the potential revenue it is legally entitled to collect.
“Around 2.5 billion Rufiyaa slips through the government’s fingers every year simply because goods are systematically under-invoiced at port,” he stressed.
