Finance Minister Hassan Zareer has disclosed that subsidy expenditure has reached MVR 4.3 billion so far this year, with the largest share spent on fuel.
The minister said the government continues to cover the difference between the market price and the subsidised price of fuel. Other subsidies form a smaller portion of the total.
The figures were released amid ongoing discussions about the sustainability of subsidy programmes and the pressure they place on the state budget. Fuel subsidies have historically been one of the largest items in the government’s expenditure.
No breakdown of the remaining categories was provided in the latest statement.
