Finance Ministry has stated that the government's debt is expected to rise to MVR 129 billion in the next fiscal year.

According to a statement indicating the fiscal strategy for the next three years released by the ministry, the debt as a percentage of GDP is expected to reach 111 percent next year, out of which MVR 117 billion is direct debt.

The Ministry further added that the state's debt is expected to rise to MVR 130 billion in 2025, which is 102 percent of GDP.

Finance Ministry said the target is to reduce the debt per GDP ratio to 93 percent in 2026 and to 87 percent in 2027.

While the government aims to keep the primary deficit at 5 percent of GDP, the budget deficit for the current fiscal is also minus 6.3 percent of GDP and the budget deficit for the next financial year is 8.5 per cent.