Audit reveals over MVR 461 million in outstanding payments owed to Customs
24 އޮކްޓޯބަރު 2026 | ހޮނިހިރު 11:29The Auditor General has recommended legislative amendments and strengthened enforcement measures to address challenges in recovering outstanding dues owed to Maldives Customs Service. While the institution's 2023 financial statements were prepared in accordance with international standards, the audit highlights that Customs contributed 11 percent of the total state tax revenue for the year.
Headquarters of Maldives Customs Service. | Maldives Customs Service
An audit report released by the Auditor General’s Office has revealed that more than MVR 461 million owed to the Maldives Customs Service remains uncollected.
According to the 2023 financial statement audit report of Maldives Customs Service released by the Auditor General’s Office, the total amount owed to the agency stood at MVR 461,016,716 by the end of 2023. The audit highlighted that over MVR 160 million of this total consists of long-overdue payments to the state that are currently in the judgment enforcement stage.
In terms of revenue, Maldives Customs Service collected a total of MVR 2.5 billion for the state in 2023. This figure accounts for 11 percent of the total tax revenue received by the government during that year. As import duties represent a primary source of state income, auditors assessed the risks associated with duty calculations and tariff classifications. However, the audit report confirmed that the financial statements of Customs were prepared in accordance with international standards.
Highlighting the challenges in recovering outstanding dues, the audit report noted that despite measures taken by Maldives Customs Service to collect the funds, a significant amount remains unpaid. Statistics indicate a steady increase in outstanding receivables from 2020 through 2022. However, the report also confirmed that Customs successfully recovered MVR 10.1 million of these funds following the conclusion of 2023.
To address these issues, the Auditor General has put forward several key recommendations. These include consulting with relevant institutions to strengthen enforcement actions against defaulters, as well as engaging with parties involved in cases where court proceedings have concluded but judgments remain unenforced, to explore avenues for debt recovery. Furthermore, the Auditor General advised introducing necessary legislative and regulatory amendments to establish a robust system for recovering duties in instances where exemptions granted for economic purposes are subsequently revoked.
According to financial statements, Maldives Customs Service spent a total of MVR 248.4 million from its budget in 2023. The largest portion of this expenditure was dedicated to personnel costs, with MVR 194.3 million spent on salaries and allowances. Additionally, administrative operational expenses amounted to MVR 17.4 million, while capital expenditure stood at MVR 26 million.
The audit report further highlighted that the Customs Staff Welfare Fund maintained a balance of MVR 2.3 million at the end of 2023. Additionally, the report revealed that MVR 4.9 million remains outstanding in loans issued to employees from the fund. This audit report was released under the signature of Auditor General Hussain Niyazy, following a verification of the accuracy of the Maldives Customs Service's financial statements.
