National reserve projected to be at USD 606 million in 2023
The Maldivian inflation rate is projected to be at 5.4 percent in 2023
Maldives Monetary Authority (MMA)
Minister of Finance Ibrahim Ameer has stated that the national reserve of the Maldives is projected to be at USD 606 million in 2023.
Minister Ameer stated this on Monday, at the People's Majlis sitting to present the proposed state budget for 2023.
As such the Minister noted that world market is seeing rise in prices of oil and other goods, even though the Maldivian Economy is seeing improvements. He stated that the reason for the slow rise in inflation in Maldives is due to the subsidies and other policies implemented by the administration.
Minister Ameer went on to say that these policies are not sustainable or ideal for the long run. He said that these policies increases the gaps in economic growth. Hence, he noted that changes need to be brought to these policies in the future.
The Finance Minister stated that the Maldivian inflation rate is projected to be at 5.4 percent in 2023.
Noting that the national reserve of the Maldives plays the most important role in monitoring the fiscal and economic policies of the country, Minister Ameer stated that there are obstacles in increasing the reserve in a short notice. As such he highlighted the rise in prices of goods, specially the rise in prices of oil and even the increase in the number of imports of the country.
The Minister went on to say that the Maldivian economy is seeing growth even in the midst of all the impediments that the economy of the world is facing. He said this is the result of the administration's fiscal policies. He went on to note that the fiscal policy of the state played a huge role in running the Maldivian economy as it was brought to a halt in 2020, due to the Covid-19 pandemic.
The state revenue of 2020 saw a decrease of 34.5 percent, compared to that of 2019.
