LGA expenditures exceed allocated budget

The Local Government Authority (LGA) has exceeded its allocated budget for the current year.

According to the latest figures released by the Ministry of Finance, the Local Government Authority (LGA) was allocated a budget of MVR 38.1 million for the current year. However, as of August 27, the authority’s expenditures reached MVR 41.5 million. This represents an 8.92 percent increase over the total budget initially earmarked for the entire year.

Expenditure by the Local Government Authority (LGA) has seen a significant increase compared to the same period last year. During that timeframe, the authority spent 22.5 million MVR. This represents a substantial rise of 15.6 million MVR in spending compared to the previous year.

As part of the government's expenditure reduction policy, atoll councils were abolished starting last December. Following this change, former Minister Adam Shareef Umar stated last March that the premises previously used to house atoll council administrations are now being operated as atoll offices under the Local Government Authority (LGA).

The primary objective of establishing these offices is to provide essential support and services to local councils, while facilitating necessary training for council members and administrative staff. Furthermore, these offices aim to strengthen the relationship between the Local Government Authority (LGA) and the councils, empowering them to effectively fulfill their statutory responsibilities and legal obligations.

The Local Government Authority's (LGA) expenditures have surged significantly, even as four months remain until the end of the year.