The Ministry of Finance has reported a significant decline in government spending in 2025, with total expenditure reduced by 20% compared to the same period last year. 

As of May 15 this year, the government had spent MVR 12.9 billion, down from MVR 16.2 billion in 2024.

The data indicates that recurrent expenditure, which forms the bulk of government spending, stood at MVR 11.8 billion, marking a 4.5% decrease compared to the previous year.

A large portion of the recurrent budget, 59.2%, has been allocated to administrative expenses of government offices. 

However, there has been a notable effort to cut back in specific areas. 

Spending on office supplies has plummeted by 71.7%, while overall administrative expenses are 10% lower than the same time last year.

The Finance Ministry attributes this downward trend in expenditure to new cost-cutting measures aimed at improving fiscal discipline and reducing unnecessary government outlays.