Tax revenue collected by the state increases by 7.0 percent
Tax revenue so far this year stood at MVR 24.63 billion, as against MVR 23.03 billion in the same period in 2025.
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The tax revenue collected by the state as of October 15, 2026, increased by 7.0 percent compared to the same period last year, according to the latest Weekly Fiscal Developments Report released by the Ministry of Finance and Public Enterprises. The growth was mainly due to higher collections from General Goods and Services Tax (GGST), withholding tax on non-residents and other key revenue sources.
Tax revenue so far this year stood at MVR 24.63 billion, as against MVR 23.03 billion in the same period in 2025. Total revenue, and grants rose 2.6 percent to MVR 31.89 billion.
GGST revenue increased by 8.2 percent to MVR 4.43 billion compared to 4.09 billion during the same period last year. The fact that GGST also saw the biggest increase in government revenue in a week indicates the role of this tax in increasing domestic revenue.
Withholding tax revenue from non-residents increased by 10.4 percent to MVR 1.09 billion. In addition, revenue from other sectors has also improved. Import duty revenue rose 15.2 percent to MVR 2.79 billion, while corporate income tax revenue rose 9.2 percent to MVR 3.01 billion. Revenue from business and other property taxes increased by 87.8 percent to MVR 1.39 billion. Revenue from airport service charges and departure taxes increased by 8.8 percent to MVR 1.55 billion. Revenue from goods increased by 12.1 percent to MVR 1.97 billion, while receipts from grants increased by 68.1 percent to MVR 0.52 billion.
On the expenditure front, expenditure on administrative services increased by 6.0 percent to MVR 2.04 billion. Recurrent expenditure stood at MVR 31.35 billion, an increase of 17.2 percent over the previous year.
Capital expenditure on land and buildings increased by 38.9 percent to MVR 1.57 billion compared to the same period. Total capital expenditure increased by 15.2 percent to MVR 5.04 billion.
Other ongoing expenditure on grants and subsidies increased by 39.1 percent to MVR 10.45 billion. Expenditure on subsidies increased by 73.3 percent to MVR 4.31 billion, while expenditure on Aasandha increased by 16.9 percent to MVR 1.92 billion. Expenditure on salaries and allowances increased by 14.1 percent to MVR 5.56 billion. However, interest expense fell 6.6 percent.
Expenditure on other infrastructure increased by 27.6 percent to MVR 0.96 billion, while expenditure on port development increased by 25.5 percent. Spending on capital equipment increased 22.0 percent.
As of 15 October 2026, the total expenditure stood at MVR 36.39 billion. This is an increase of 16.9 percent compared to the same period in With this, the overall budget deficit has reached Rs 4.50 billion.
