Though the 2024 state budget was submitted by the outgoing government, it will enhance achievement of the pledges by the current administration according to Minister of Finance Dr. Mohamed Shafeeq.
At the parliament, the minister said that MVR 1.5 billion have been allocated in the budget for 450 Public Sector Investment Program (PSIP) projects; which he said would pave way towards addressing the promises made by the new administration led by President Dr. Mohamed Muizzu.
Shafeeq further said the government aims to execute all ongoing projects without hindrances, but noted the state would observe cashflow difficulties for the remainder of 2023.
"In efforts for fiscal and debt sustainability, it is crucial [for the government] to take austerity measures in cutting expenses and reduce budget financing limit," the minister said.
More than 1,700 projects have been planned under the PSIP initiative for next year.
The minister further highlighted that efforts would be made to change subsidies under a direct transfer system and reduce expenditures on Aasandha and welfare spending.
He stressed the importance of collective commitment by all government authorities to reduce the state's overall expenditure.
Minister Shafeeq further addressed that the government will begin taking all necessary steps to cut expenses by July 2024.