More than MVR 12 billion was spent on Public Sector Investment Programme (PSIP) projects, or development projects, last year.

According to the Ministry of Finance’s weekly fiscal report, MVR 12.1 billion was spent on PSIP as of December 2023; an increase of MVR 1.8 billion over the allocated total of MVR 10.3 billion for PSIP, inclusive of a supplementary budget allocation.

Most of the PSIP allocation was spent on land reclamation projects, amounting to MVR 2.1 billion, while MVR 1.6 billion was spent on airport projects. MVR 1.5 billion was spent on water and sewerage projects, MVR 1.4 billion on road construction projects, and MVR 1.1 billion on port projects. The bridge project cost MVR 757.3 million, while housing projects cost MVR 922 million.

The 2023 budget initially allocated MVR 8.5 billion for PSIP projects. However, the expenditure exceeded the budget, and the Ministry of Finance allocated an additional MVR 1.7 billion for PSIP projects in the supplementary budget, resulting in a further overspend of MVR 1.8 billion.