MVR 2.7 billion have been overdrawn from the central bank, Maldives Monetary Authority (MMA) in an attempt to cover government expenditure.

The balance sheet published by MMA shows that MVR 2.7 billion was overdrawn on May 26th. MVR 828 million of this amount was overdrawn on April 29th.

The amount overdrawn is what the Parliament approved after the Finance Ministry requested to overdraw

MVR 1.5 billion will be overdrawn next from this amount.

As per regulations, the government can overdraw from the central bank's public account an amount that is not over 1% of the average state revenue per year based on the state revenue totals for the past three years. Hence the current situation allows the government to withdraw MVR 217 million.

However certain situations are detailed in the regulation which allows for more.

As such in the case of an economic crisis or a natural disaster, with the approval of the parliament the limit can be overlooked.