The Edition
facebook icon twitter icon instagram icon linkedin icon

Latest

President: Maldives will spend MVR1 billion on fuel in 2022

Lamya Abdulla
26 May 2022, MVT 13:14
President Ibrahim Mohamed Solih speaking at MWSC's anniversary celebration on May 25 -- Photo: President's Office
Lamya Abdulla
26 May 2022, MVT 13:14

President Ibrahim Mohamed Solih said on Wednesday evening that the war between Russia and Ukrain will lead to the state spending MVR 1 billion on fuel this year.

At the ceremony held to celebrate Maldives Water and Sewerage Company (MWSC)’s 27th anniversary, President Ibrahim Mohamed Solih said the war between Russia and Ukraine is affecting Maldives’ economy as well. He said it is likely the price of goods in Maldives may increase as a result of the spike in fuel prices globally.

He said that even though MVR 400 million was set in the state budget for fuel this year, it is likely up to MVR 1 billion will be spent on fuel by the time the year is over. The money spent on importing goods will increase as well.

“The state budget will be required to spend more money on other goods that will be imported. However, our economy is heading in the right direction, God be willing. Our generated income is higher than the one we expected,” he said.

“However, because our expenses have also increased, we have to think about that matter as well.”

He said they were closely monitoring the steps they would need to take due to economic obstacles caused due to war in Eastern Europe at the moment. These included withdrawing the section in the proposed amendments to the Tourism Act, calling to reduce resort land rent.

President Solih said the state is always repaying the debt while taking more debt on simultaneously. He said there is no fear Maldives will be unable to pay off its debt. There were no difficulties in paying off the state debt for the next two years as well, he said.

President Ibrahim Mohamed Solih said on Wednesday evening that the war between Russia and Ukrain will lead to the state spending MVR 1 billion on fuel this year.

At the ceremony held to celebrate Maldives Water and Sewerage Company (MWSC)’s 27th anniversary, President Ibrahim Mohamed Solih said the war between Russia and Ukraine is affecting Maldives’ economy as well. He said it is likely the price of goods in Maldives may increase as a result of the spike in fuel prices globally.

He said that even though MVR 400 million was set in the state budget for fuel this year, it is likely up to MVR 1 billion will be spent on fuel by the time the year is over. The money spent on importing goods will increase as well.

“The state budget will be required to spend more money on other goods that will be imported. However, our economy is heading in the right direction, God be willing. Our generated income is higher than the one we expected,” he said.

“However, because our expenses have also increased, we have to think about that matter as well.”

He said they were closely monitoring the steps they would need to take due to economic obstacles caused due to war in Eastern Europe at the moment. These included withdrawing the section in the proposed amendments to the Tourism Act, calling to reduce resort land rent.

President Solih said the state is always repaying the debt while taking more debt on simultaneously. He said there is no fear Maldives will be unable to pay off its debt. There were no difficulties in paying off the state debt for the next two years as well, he said.

Share this story

Discuss

MORE ON NEWS