Maldives to invest MVR 12.4 billion in PSIP projects next year

The Maldivian government will be investing MVR 12.4 billion in Public Sector Investment Program (PSIP) projects next year, according to the proposed 2025 state budget.

Finance Minister Moosa Zameer presented a proposed budget of MVR 56.6 billion to the Parliament on Thursday afternoon. The projected expenditure for next year is MVR 49.2 billion, while the projected revenue and grants stand at MVR 39.8 billion, meaning a deficit of MVR 9.4 billion.

The 2025 budget has an allotment of MVR 12.4 billion for PSIP projects. According to the Finance Ministry, this includes the highest allotment for new PSIP projects to date.

Presenting the budget, Zameer said the Finance Ministry has included a PSIP plan with actual estimates along with the budget to aid planning the projects to ensure that state-funded projects produce results.

“This will ensure that projects are carried out without interruption throughout the year, and pave the path to finish a lot of the projects and manage spending on PSIP at a level on par with the means of state finances,” he said.

The budget allocation for PSIP projects this year is MVR 8.9 billion.

The 2025 budget also has an allocation of over MVR 3 billion for housing, including MVR 1.5 billion in housing projects across the country and the issuance of up to MVR 2 billion in home construction loans at 5 percent interest rate.