Finance Minister Ibrahim Ameer on Tuesday said the state expects to receive a revenue of MVR 19 billion next year.
The government previously estimated that the state would receive MVR 30 billion as revenue this year, including grants. However, the figure has been revised to MVR 15.1 billion in the face of the COVID-19 pandemic.
Although the state previously estimated that the budget deficit would be at MVR 6 billion, the amount has now been revised to MVR 16 billion taking into consideration the new economic situation caused by the novel coronavirus.
The minister told the Parliament's Economic Committee that the ministry is preparing 'medium term fiscal strategies', and an estimate on state revenue has been drawn up.
'We expect a revenue of MVR 19 billion next year, including grants. The state fiscal deficit will be at MVR 14.4 billion. A financial gap of 16 to 17 percent is likely. We need to secure MVR 12 billion this year," said the minister.
The government had previously estimated that the GDP would increase by 7.2 percent in the current year. However, the government now expects a 11.5 percent dip in the Maldives economy.