TGST collections reached MVR 6.7 billion, driving an 11.3% increase in total tax revenue to MVR 17.6 billion.
PSM News
Tourism Goods and Services Tax (TGST) collection stood at MVR 6.7 billion, which was a key driver of state revenue growth during the current year, according to the latest Weekly Fiscal Developments Report by the Ministry of Finance and Public Enterprises till July 16, 2026.
The highest revenue collection during the past week was from TGST. TGST collections increased by MVR 475 million or 7.7 per cent this year, compared to MVR 6.2 billion in the same period. Total revenue from value-added tax (VAT), including TGST and general GST, increased by MVR 799.2 million or 9.0 per cent to MVR 9.7 billion. Revenue from general GST increased to MVR 3.0 billion or 12.1 per cent from MVR 2.7 billion in the previous year.
The total tax revenue received by the state stood at MVR 17.6 billion in the same period this year, as against MVR 15.8 billion as on July 16. This is an increase of MVR 1.8 billion or 11.3 per cent. This brings the total revenue and grants received by the state to MVR 23.0 billion. This is an increase of MVR 1.9 billion or 9.0 per cent compared to MVR 21.1 billion in the same period last year.
Grants also increased to MVR 438.8 million. This is a significant increase of MVR 248.4 million or 130.3 per cent compared to MVR 190.5 million in the same period in However, non-tax revenue fell to MVR 4.9 billion or 2.9 per cent from MVR 5.1 billion.
On the expenditure side, the biggest increase in the past week was in block grants to councils. The total amount of grants to councils stood at MVR 1.5 billion, an increase of MVR 200.5 million or 16.0 percent compared to MVR 1.3 billion spent in the same period. This money was spent on decentralisation and rural development. The expenditure on subsidies stood at RsMVR 3.1 billion. This is an increase of MVR 1.4 billion or 86.3 per cent compared to MVR 1.7 billion in the previous year. The total expenditure on council grants and subsidies reached MVR 4.6 billion, reflecting the government's priority on decentralisation and social security programmes.
The total expenditure of the government stood at MVR 24.5 billion. This is an increase of MVR 4.2 billion or 21.0 per cent compared to MVR 20.3 billion in Of this, ongoing expenditure or recurrent expenditure increased by 20.8 per cent to MVR 21.4 billion due to increased expenditure on salaries, due to expenditure on subsidies and pay harmonisation, while capital expenditure increased by 22.1 per cent to MVR 3.2 billion.
The budget deficit stood at MVR 1.5 billion. This is a significant change compared to a surplus of MVR 817.3 million in the same period last year. However, the primary balance, excluding debt repayment and interest expense, still stands at a surplus of MVR 1.2 billion.
