MDP Accuses Muizzu of Lying, Alleges Budget Deficit at MVR 15 Billion, Not 13 Billion
Photo: Parliament
Maldives Democratic Party (MDP) accuses President Dr Mohamed Muizzu of lying during his presidential address earlier this month, stating the current budget deficit is at MVR 15.3 billion, and not MVR 13.6 billion as he had said.
Article 33(b) of the Maldivian Constitution stipulates that the leader of the opposition party with the most parliamentary seats must respond to the presidential address delivered at the start of each parliamentary term. In line with this, Ibrahim Nazil, the MP for South Hithadhoo constituency, delivered his response to the presidential address on February 6.
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“The past year has been the year there was a record amount of deficit in the state budget. The budget deficit is higher this year than in 2020, the year the state income decreased by 50 percent, by MVR 2 billion [this year]. [This is] the year the total budget deficit became MVR 15.3 billion,” Nazil said in Dhivehi.
He outlined three key points regarding the budget deficit:
- The 2024 budget has yet to be finalised. As additional bills are passed, the deficit is expected to rise further.
- The MVR 1.2 billion development cost for Velana International Airport, which should have been accounted for in the 2024 budget, was mistakenly included in the 2023 budget. Nazil called this a financial crime, suggesting that the current administration had done so in an attempt to reduce the apparent deficit last year.
- Nazil disputed President Muizzu’s claim of MVR 13.6 billion budget deficit, stating that records from the Ministry of Finance and Planning show the actual figure to be MVR 15.3 billion.
In his address, Nazil also accused President Muizzu of dishonouring his pledges. He reminded the parliament of Muizzu’s promise not to borrow from foreign lenders, which Nazil claimed had been repeatedly violated. He pointed out that, in the past year, the state had borrowed MVR 10.8 billion.
“The past year has been the year with a record amount of high state debt. The budget debt is higher this year than in 2020, the year the state income decreased by 50 percent, by MVR 2 billion [this year]. [This is] the year the total budget debt increased by MVR 20.6 billion,” Nazil said in Dhivehi.
