State revenue and grants increased by 10.9 percent to MVR 24.1 billion as of July 23, 2026, according to the latest Weekly Fiscal Developments report published by the Ministry of Finance and Corporate Governance.
The report shows the government received MVR 24.1 billion in revenue and grants during the period, an increase of MVR 2.4 billion compared to the MVR 21.7 billion collected during the same period last year.
Tax revenue continued to account for the largest share of government income, rising 12.1 percent year-on-year to MVR 18.4 billion, compared with MVR 16.4 billion collected during the corresponding period in 2025.
Goods and Services Tax (GST) remained the single largest source of tax revenue, generating MVR 10 billion by July 23. This represents an increase of 9.7 percent, or MVR 878.5 million, compared to the MVR 9.1 billion collected during the same period last year.
Revenue from General Goods and Services Tax (GGST) reached MVR 3.1 billion, up 13.6 percent from MVR 2.7 billion a year earlier. Meanwhile, Tourism Goods and Services Tax (TGST) collections increased by 8 percent to MVR 6.9 billion, compared to MVR 6.4 billion during the same period in 2025.
According to the report, the state had collected 59.7 percent of the MVR 40.4 billion in revenue and grants projected for the 2026 fiscal year by July 23.
The report also shows that total recurrent and capital expenditure reached MVR 25.5 billion, compared with MVR 21.3 billion during the same period last year, representing an increase of 19.7 percent.
Expenditure on salaries, wages and pensions totalled MVR 8.5 billion, an increase of 9.5 percent from MVR 7.8 billion in the corresponding period of 2025. The Ministry of Finance attributed the increase to salary adjustments introduced for government employees in November 2025.
Spending under the national health insurance scheme, Aasandha, reached MVR 1.2 billion, up 14.8 percent from MVR 1.1 billion recorded during the same period last year.
Subsidy expenditure stood at MVR 3.2 billion, compared with MVR 1.8 billion during the corresponding period in 2025, reflecting an increase of 79 percent. The ministry said the increase was mainly due to higher global oil and commodity prices resulting from the ongoing conflict in the Middle East.
The latest fiscal figures also show the government recorded a primary surplus of MVR 1.5 billion as of July 23, while the overall fiscal balance stood at a deficit of MVR 1.4 billion.
The Weekly Fiscal Developments report is published regularly by the Ministry of Finance and Corporate Governance to provide updates on the government’s revenue, expenditure and overall fiscal performance throughout the year.
