The state is projected to inject a total of MVR 12.6 billion into State-Owned Enterprises through capital and loans over a three-year period, according to the budget book submitted by the Ministry of Finance.
For the years 2024 to 2026, MVR 5.4 billion was originally budgeted for SOEs. Actual spending during the period is projected to exceed that amount by MVR 7.1 billion. The largest overrun occurred last year, when MVR 6.2 billion was disbursed against an allocation of MVR 1.8 billion.
Annual figures have risen steadily: MVR 2.9 billion in 2023, MVR 4.1 billion in 2024, and more than MVR 6 billion last year. Spending is projected to fall to MVR 2.2 billion this year, with the 2027 budget proposing a further reduction to MVR 1.98 billion — the lowest level since 2022 if achieved.
The budget documents state that the disbursements are necessary to maintain essential public services at affordable rates. Many SOEs have historically required ongoing state support, and the sector employs tens of thousands of people.
The proposed reduction for next year comes as the government presents a smaller overall budget amid ongoing efforts to manage public debt and recurrent expenditure.
