The budget for next year has been proposed with an increased excise duty on cigarettes and fizzy drinks.
Finance minister Ahmed Munawwar while proposing next year's state budget to parliament on Tuesday said the government is looking to increase duty on cigarettes and fizzy drinks.
He also said the government would impose a charge on taxi permits and an airport development charge next year.
Government had proposed to raise excise duty on each cigarette by MVR1.75 which would likely elevate the price of a pack from the current MVR47 to over MVR50.
Government hopes the duty hike on cigarettes would yield a revenue of an estimated MVR200 million next year.
In addition, the 20 percent excise duty increase on fizzy drinks would boost government revenue by MVR9 billion.
The USD25 airport development charge imposed on both international domestic passengers is expected to generate MVR565 million with a four percent boost in tourist arrivals forecast next year.
