Ministry of Finance have requested for an overdraw of MVR4.4 billion amid the current crisis in light of the COVID-19 pandemic slowing down the economic drive.
The state authority will be pushing forward with the initiative in order to ensure functioning of the services for overcoming the current economic and financial duress.
The ministry presented document articulating the necessary preventive measures for the state to manage the government's cashflow amid the current challenges, to the Maldives parliament.
In the ministry's preposition, it had requested for parliament's approval in extending the overdraw limit from public bank accounts. Ministry of Finance's administration argues the decision will enhance state with short term expenses.
Ministry of Finance requested for an overdraw of MVR4.4 billion for a one year period without a finance cost to ensure services from state institutes.
Furthermore, the ministry detailed their decision comes in light of hiked unemployments in the country and the drop in the economic aggregate demand.
The ministry's document further detailed the notable slow-down of the global economy and the stagnation of the global aviation industry giving contribution to the drop in oil prices in world market furthered consistency in the demand of foreign currency.
