The Maldives government has spent 90% of the compensation budget allocated from the 2023 state budget.
According to the Ministry of Finance, the government has spent MVR 92.6 million as compensation already this year, while the allocated total for the year is MVR 101 million.
The government has paid out MVR 1.6 billion in compensation over the last four years for previous breach of contract. Moreover, the Maldives government has exceeded its compensation budget each year for the last four years.
Meanwhile, the government formed a settlement committee, which dissolved in September 2021. The committee was formed to seek compensation for losses suffered during previous governments, and it had received 37 cases before dissolution.
According to the current administration, compensation owed to private companies for the illegal termination of agreements by the previous governments amounts to MVR 6.8 billion in total.