The Maldives Monetary Authority (MMA) says total government expenditure increased by MVR 1.3 billion during the first six months of 2026, compared with the same period last year.

According to the MMA's latest Quarterly Economic Bulletin, total expenditure rose by 44 percent, mainly due to higher recurrent spending. Recurrent expenditure increased by MVR 1.1 billion, while capital expenditure on development projects rose by MVR 190 million.

Despite the increase in spending, the country's debt position remained largely unchanged. At the end of the first quarter of 2026, total public debt stood at MVR 135 billion, equivalent to 110 percent of GDP, down from 113 percent at the end of 2025.

The report noted that although the debt-to-GDP ratio declined, the overall debt stock remained stable due to increased domestic borrowing through the issuance of Treasury bills and bonds.

Government revenue also recorded growth during the first half of the year, increasing by 15 percent compared with the corresponding period in 2025.