Minister Saeed slams ex-govt’s reckless fiscal policy over debt burden
Minister of Economic Development Mohamed Saeed has accused the previous administration of reckless financial management, questioning how MVR 8.7 billion received by the state in the name of COVID-19 was utilized when only MVR 4.2 billion was spent.
Speaking at Monday’s parliamentary sitting in response to a question from South Hulhumalé MP Dr Ahmed Shamheed, Minister Saeed dismissed speculation that the current government plans to print money.
He said the government remains committed to fiscal responsibility and transparency.
This government will not print money. We inherited MVR 125.2 billion in debt from the government you claim to have concluded. During that period, not even half a rufiyaa was invested in revenue-generating activity — only recurrent expenses.
Minister Saeed stressed
The Minister alleged that the previous administration had printed money after suspending the Expenditure Accountability Act, using the pandemic as justification. He questioned the rationale behind printing money when billions were already received as COVID-19 funds.
Saeed added that the depreciation of the Maldivian rufiyaa stemmed from the currency printing carried out under the former government.
His remarks come amid ongoing rumors that the Maldives Monetary Authority (MMA) is selling a MVR 2.5 billion bond in the secondary market through the Maldives Pension Administration Office (MPAO).
Neither the Finance Ministry, MMA, nor the Pension Office has publicly commented on the matter.
Meanwhile, MPAO Board Member Saruvash Adam has resigned, citing his belief that the transaction is “economically and financially harmful.”
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