State budget of MVR 16.9 billion for 2013 presented to parliament

Finance Minister Abdulla Jihad submitted an annual state budget of MVR 16.9 billion (US$1 billion) for 2013 (Dhivehi) to parliament today, proposing a raft of measures to raise revenue and reduce spending.

Of the proposed MVR 16.9 billion of government spending, more than 70 percent was recurrent expenditure, Jihad noted in his budget speech (Dhivehi).

“As in other years, the highest portion of recurrent expenditure is expenditure on [salaries and allowances for government] employees,” Jihad explained. “That is 48 percent of total recurrent expenditure.”

As total expenditure would outstrip projected revenues of MVR 12.9 billion (US$836 million), Jihad said the resulting deficit would be plugged with MVR 971 million (US$62 million) as budget support and MVR 1.3 billion (US$84 million) from Treasury bill (T-bill) sales.

Of the MVR 971 million in budget support, MVR 671 million (US$43 million) was expected as foreign loan assistance, Jihad explained, with the rest to be made up from “domestic finance.”

New measures proposed to raise revenue is expected to account for MVR 1.8 billion (US$116 million) in income, Jihad said.

Jihad further claimed that the budget deficit at the end of 2013 would be MVR 2.3 billion (US$149 million), half the deficit in the current year.

On revenue forecasts, Jihad revealed that income from taxation would account for MVR 9.1 billion (US$590 million) while MVR 3 billion (US$194 million) was expected from other sources, such as resort lease rents, dividends from government companies and profits from the Maldives Monetary Authority (MMA).

On social and economic programmes, Jihad said MVR 2.5 billion (US$162 million) was allocated to the education sector, MVR 1.7 billion (US$110 million) for strengthening the judiciary, MVR 1.5 billion (US$97 million) for improving health services, MVR 2 billion (US$129 million) for social security and welfare and MVR 5.5 billion (US$356 million) for infrastructure projects in the atolls.

A public sector investment programme (PSIP) was formulated with MVR 3.1 billion (US$201 million), Jihad said, with MVR 1.5 billion (US$97 million) from the state budget, MVR 21 million (US$1.3 million) from domestic loans, MVR 1.2 billion (US$77 million) as foreign loans and MVR347.6 million (US$22.5 million) as free aid.

The PSIP projects include construction and repairs of harbours in 14 islands, establishing sewerage systems in 11 islands, water systems in three islands, 1,500 housing units in eight islands, 21 new mosques and upgrading the regional hospitals in Kulhudhufushi and Addu City to tertiary level.

Meanwhile, according to the latest figures from the Finance Ministry, government spending as of November 22 stands at MVR 10.9 billion (US$706 million), while revenues of MVR 8.5 billion (US$551 million) have been collected so far this year.

Jihad said in parliament today that total spending in 2012 is expected to be MVR 16.5 billion (US$1 billion) while revenues would be MVR9.4 billion (US$609 million).

The revenue forecast in the 2012 budget was however MVR 11 billion (US$713 million).

“At the end of 2012, the state’s budget deficit is estimated to be at MVR 4.3 billion (US$278 million). That is 12.6 percent of GDP,” Jihad revealed.

Revenue raising and cost-cutting measures

A recent mission from the International Monetary Fund (IMF) urged the government to implement a raft of measures to raise revenues, advising that strengthening government finances was “the most pressing macroeconomic priority for the Maldives.”

Finance Minister JihadEchoing the IMF concerns, Jihad told MPs that rising public debt was “a major challenge to the country’s economy,” revealing that the state’s debt would increase to MVR 31 billion (US$2 billion) by the end of 2013 – 82 percent of GDP.

If the deficit spending trend continues, Jihad warned that the Maldives would face severe difficulties in securing development loans and financial assistance.

Taking the IMF recommendations on board in formulating the budget, Jihad proposed a number of revenue raising and cost-cutting measures,

  • Review government subsidies to target assistance to the needy
  • Freeze hiring “as much as possible”
  • Reforming the universal health insurance programme ‘Aasandha’
  • Reducing the number of councillors and board members of government companies
  • Reducing expenditure for trips from government offices to the atolls
  • Reduce government expenditure on rent for government offices
  • Reduce overseas trips by government employees
  • Amending the Pension Act to abolish “double pension”
  • Reversing import duty reductions
  • Hiking T-GST (Tourism Good and Services Tax) to 15 percent from July 2013
  • Introducing GST for telecom services (currently exempt from the tax)
  • Introducing GST for oil
  • Increasing airport service charge for foreigners from $18 to $30
  • Amending the law on revenue stamps
  • Abolishing 22 loss-making government companies

Jihad appealed to MPs to approve the measures and warned of “bitter consequences for the whole nation” should deficit spending continue in the future.

The Finance Minister urged MPs to “put aside political differences and prioritise national interest” in recognising that the country could not “indefinitely” spend beyond its means.

“We have to accept that these measures will affect all of us to some extent,” he said. “However, if we do not begin taking these measures, we might have to face more severe difficulties as a result of steps we would be forced to take.”

Monetary policy

According to projections by the MMA, said Jihad, the current account deficit is expected be higher than 2012 by 15 percent.

The current account deficit is projected to widen to 28 percent of GDP in 2013, Jihad said.

Collaborative efforts from different sector would be needed to “solve the balance of payments problem facing the country,” Jihad added, as the imbalance in the foreign exchange market has been building for many years, resulting in a parallel or “black market” for dollars.

Policies have been proposed to increase exports and expand small businesses, Jihad said.

Following the submission of the budget today, a joint committee of the parliament’s Finance Committee and Economic Committee would convene to review the proposed budget before it is put for a vote.

The budget debate has meanwhile been scheduled for December 4, 5 and 6, Speaker Abdulla Shahid said today.

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Police seize nine kilograms of drugs in raid on local drug network

Police have busted a local drug network and arrested five Maldivians and four Indians while they were in possession of nine kilograms of illegal substances.

The men were arrested when they arrived in the Maldives aboard a cargo boat named ‘Silver Cloud 49’, a vessel carrying goods from India to the Maldives that had just unloaded eggs, potatoes and onions from Tuticorin port in India.

Police conducted a join operation with the customs, police intelligence and police drug enforcement department to disrupt the drug network.

According to a statement issued by police, the vessel arrived in the Maldives yesterday morning.

Police said that during the same operation police obtained a searched warrant and searched a house in Male’, where they discovered a large amount of foreign and Maldivian currency.

A further two expatriates were arrested in the house, police said.

Police did not disclose the name of the house where the money was found or the amount of money found inside the house.

According to local newspaper ‘Haveeru’, Deputy Police Commissioner Hussain Waheed tweeted that the street value of the drugs discovered during the operation would reach up to MVR 10 million (US$648,000).

Police Sub-Inspector Hassan Haneef told Minivan News that the operation was still going on and refused to disclose further information before the operation was concluded.

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Indian US$25 million budget support loan delayed after Maldives fails to complete paperwork

A US$25 million state loan from India required to help balance the Maldives’ budget for the remainder of 2012 has been delayed after the government failed to submit the requested paperwork, a diplomatic source has revealed.

A representative for the Indian High Commission in the Maldives – who asked not to be named – told Minivan News that despite recent diplomatic tensions between the two nations, funding had actually stalled due to the Maldives’ government failing for over a month to submit the papers needed to complete the financing deal.

Although the Finance Ministry has now played down previous budget concerns, the US$25 million in funding agreed by India was last month deemed vital by the Finance Minister to ensure the government’s remaining spending in 2012 was met.

While the loan agreement still stands, the diplomatic source stressed that concerns within the Indian government about perceived anti-India sentiments from senior political figures in the Maldives could yet have a bearing on financial support offered to the country.

“Because of the current situation in the Maldives there is a perception in the Indian government that its interests are being treated unfairly,” he said. “[The government] will have the final say on approving any loan and these comments will be taken into account.”

Tensions have increased between the two countries this month as senior Maldivian government officials step up their efforts to oppose a contract signed under the previous administration with Indian infrastructure group GMR to develop Ibrahim Nasir International Airport (INIA).  The contract represents the largest foreign investment ever undertaken in the country’s history.

In an arbitration case held last week, the High Court of Singapore rejected an attempt by the Maldives Airports Company Limited (MACL) to release an injunction blocking the government from taking action in the Civil Court of Maldives blocking GMR’s offset of the airport development charge (ADC).

Yet according to rumours circulating on social media sites, the government will allegedly cancel the GMR contact at a cabinet meeting today on the back of calls from some coalition parties to “renationalise” the airport.

Tweets were being circulated speculating that a Chinese intermediary was prepared to pay for the contract termination and take over the airport development.

Finance Minister Abdulla Jihad said he did not wish to comment on the matter or the loan delay at present ahead of the state budget being unveiled on November 27.

Meanwhile, recently appointed State Finance Minister Abbas Adil Riza – who publicly labelled Indian high Commissioner  D M Mulay “a traitor” earlier this month over the airport development – and Economic Development Minister Ahmed Mohamed were not responding to  Minivan News at time of press.

India has also this week called for the Maldives government to repay US$100 million in treasury bonds by February 2013.

Amidst increased diplomatic tensions, Finance Minister Abdulla Jihad told Minivan News earlier this week that he was unaware of the reason for the delays in receiving the US$25 million loan, requesting the question be put to the Indian High Commission in Male’.

In response, a High Commission of India representative said it had waited for over a month before Maldivian authorities this week returned a draft amendment needed to process the loan. The high commission has said it could now proceed and forward the finance request to the Indian government for final approval.

“We had sent the government the draft amendment, to which they have now have agreed. However is it unlikely they are going to get the funds soon as the decision must be sent to the cabinet for approval,” the source said, adding that the agreement would need to be first sent to India’s Ministry of External Affairs. “The Maldives government will also need to complete certain steps to obtain the funds. For instance, it will have to open a bank account with the State Bank of India for the loan.”

The US$25 million loan was agreed as part of the $US100 million standby credit facility signed with Prime Minister Manmohan Singh in November 2011.

“Deep trouble”

According to the high commission source, the credit facility had been initially agreed after the previous government of Mohamed Nasheed found itself in “deep trouble” and in need of financial assistance by late October last year.

These financial concerns were said to have been exacerbated following the controversial transfer of power on February 7, leading to fears the country may face a sovereign default.

According to the high commission, these initial loan payments were expedited at the time by Indian authorities on an emergency basis  on the grounds that the correct paperwork would be completed at a later date.

However, these emergency conditions were no longer said to be in place.

“This was an extreme situation and we did not want the government to have to default,” the diplomatic source claimed, adding that the Maldives was now required to complete all requested paperwork as had been agreed.

Of the US$100 million credit provided by India, half the amount was agreed to be provided as part of budget support, while the remaining US$50 million would be set aside to aid local business by importing products from India.

However, the diplomatic source said that this agreement had been amended on several occasions to allow for a further US$25 million to go towards supporting the state budget.

Despite previously claiming that the Maldives would be unable to support state spending without securing the additional US$25 million budget support loan from India, Finance Minister Jihad announced this week that the issue of covering the government’s wage bill for the remainder of 2012 was “no longer a major concern”.

Jihad added that his department was working to secure private sector funding to make up any shortfalls in budget support.

However, he did not give further details on the nature of the private sector groups presently being sought.

Jihad claimed that a “significant” part of the private sector focus would be through issuing treasury bills (T-bills) to the private sector as recommended earlier this year by the IMF.

“When we opened up treasury bills to the private sector initially there was no response,” he said. “However, there have now been consultations with private groups.”

T-bills, which are sold by governments all over the world, serve as a short-term debt obligation backed by sovereign states. In the Maldives, T-bills have a maximum maturity of six months, after which time they must be repaid.

Foreign borrowing

Earlier this year, President Waheed reportedly said he would not resort to borrowing from foreign governments in order to finance government activities.

“I will not try to run the government by securing huge loans from foreign parties. We are trying to spend from what we earn,” he was reported to have told the people of Nilandhoo.

Despite Waheed’s reassurances, October saw a number of state owned institutions face disconnection from the capital’s power grid as bills amounting to around MVR 150 million (US$9.7 million) were owed to the State Electricity Company (STELCO).

Since coming to power in February, the government has committed to reimbursing civil servants for wage reductions made during the austerity measures of the previous government, amounting to Rf443.7 million (US$28.8 million), to be disbursed in monthly instalments over 12 months from July.

A MVR 100 million (US$6.4 million) fuel subsidy for the fishing industry was also approved by the Majlis Finance Committee, with the hope of stimulating the ailing sector.

The overall deficit for government expenditure has already reached over MVR 2 billion (US$129 million). Jihad has told the Majlis’ Finance Committee that he expected this figure to rise to MVR 6 billion (US$387 million) by year’s end – 28 percent of GDP – alleging that the previous government left unpaid bills equal to over one third of this anticipated deficit.

Former Minister of Economic Development Mahmood Razee has previously told Minivan News that this increased expenditure in the face of a pre-existing deficit represented the government “ignoring reality.”

“If they don’t get the loan, they will have to cut travel expenses, stop certain programs – take drastic measures or get another loan,” said Razee, claiming that the only alternative would be to sell treasury bills.

Following reports in August that the government was attempting to raise funds through the sale of treasury bills, former Finance Minister Ahmed Inaz claimed such a measure would not address IMF concerns about state spending, prolonging economic uncertainty.

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Maldives National Movement to protest against Nexbis

The Maldives National Movement is to begin protesting against Nexbis and the Border Control System (BCS) project, should the GMR contract be annulled.

The National Movement was formed by government coalition parties who oppose the Ibrahim Nasir International Airport (INIA) development being run by GMR.

Speaking at a press conference held at Traders Hotel today (November 26), Steering Committee member of National Movement and Minister of State for Tourism Ahmed Shameem said that the group aims to protest against all illegal agreements made.

“The names of our activities are constantly changing. We had to protest in the name of National Movement because these issues required action to be taken at national level.

“Our first target was to settle the airport issue. After that, we will not hesitate to take action against the Border Control System issue either. We will do that, we will protest against all issues that citizens do not accept,” he said.

Shameem stated that the National Movement is prepared to get the country on the right track, along with the help of Maldivian citizens.

“We have yet to find out if the ‘People’s Majlis’ is in fact a people’s Parliament. We will do that too, if you participate. Some members of Parliament believe that they control the whole country, that they can do whatever they want. So that’s also something we will protest against,” he said.

The Parliamentary Public Accounts Committee has decided to ask the government to cancel the agreement on Border Control System project, a move supported by the Attorney General and Finance Ministry.

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MP Muthalib calls for killing of former President’s Special Envoy Ibrahim Hussain Zaki

Adhaalath-aligned MP Ibrahim Muthalib has called in parliament for former President Mohamed Nasheed’s Special Envoy, Ibrahim Hussain Zaki, to be “hanged to death” as a “traitor to the Maldives”.

Speaking in the parliamentary chamber on November 26, Muthalib called for the arrest of Zaki, claiming that “traitors have to be killed” else they will “destroy the country”.

Muthalib’s comments follow those made by Adhaalath Party Leader Sheik Imran at the ‘GMR go home’ rally earlier this month.

Speaking at the rally, Sheik Imran reportedly stated that Zaki would “leave both worlds” on the day GMR is “chased out of the country”.

The latest threat comes after Zaki warned India that rising fundamentalism in the Maldives threatened the country’s economic interests.

Zaki told reporters that the attack on the GMR contract is “an Islamic fundamentalist issue”, adding: “When Islamic fundamentalism takes over the country, if the Lashkar-e-Taiba can take over the country, then I have no choice [but to call in forces from India].”

Zaki previously claimed that many top figures within the Adhaalath Party were educated in Pakistan and draw their philosophy from the hard line Salafist form of Islam.

Indian media reported on Thursday that: “Zaki, 67, a former minister in successive Maldivian governments headed by former presidents Maumoon Gayoom and [Mohamed] Nasheed, said he would have called for Indian forces to protect the multi-million-dollar investment by Indian infrastructure firm GMR Group.”

India’s Daily News & Analysis reported Zaki as saying that fundamentalists in the Maldives “have links with terror group Lashkar-e-Toiba” and warned that if Islamic fundamentalism goes unchecked the country could turn into a terror state that threatens Indian security.

Muthalib alleged that Zaki’s motivation to defend the GMR deal came from fear of having to spend “a long time in jail” or face “a death sentence” as an investigation would prove that he had accepted “large amounts of money” as bribes from the Indian company.

“Honourable Speaker, these are traitors to the nation. They have to be killed. If they are not killed and left to live, the country will be ruined. They will destroy the country,” Muttalib said, as recorded in parliament’s minutes.

“Therefore, I am calling on the Maldivian government one more time to arrest Ibrahim Hussain Zaki as quickly as possible and, after conducting a trial against him, to hang him to death as a traitor the the Maldives.”

MP Muthalib further alleged that Zaki was “the chief architect” of 1988 failed coup attempt and called on the government to launch an investigation into his alleged involvement.

However, the article in which Zaki was quoted, notes that he is “known in India as the man who telephoned then Indian prime minister Rajiv Gandhi to seek help when Gayoom was threatened by a coup in 1988”.

Muhthalib stated that Zaki was “once again attempting to have Malabars invade the country”. He also called on the government to strip Zaki of the title of honour previously given to him by the state.

Following the remarks, Speaker Abdulla Shahid said calling for a person’s death in the Majlis chamber was “unacceptable.”

Zaki’s remarks “threat to national security”: Defence Ministry

In a statement on Friday (November 23), the Defence Ministry condemned Zaki’s remarks made to Indian media “in the harshest terms” and contended that “such actions are very dangerous [threats] to national security and encourage activities that would harm the country’s independence and sovereignty.”

Zaki responded to the criticism faced by his comments through a statement released yesterday (November 25), claiming that his comments were “misrepresented”.

“The comments I made were directly related to long-standing security cooperation between India and the Maldives, and the common interest of both countries in ensuring peace, stability, law and order in the Maldives, and the emerging international law obligation of Responsibility to Protect. They respond directly to the growing political violence in the Maldives with clear international dimensions,” said Zaki.

He further states that it is “ludicrous” to suggest that India would receive a request that violates the sovereignty of the Maldives.

“My comments in India were completely within the framework of the United Nations resolution 44/51 on Protection and Security of Small States, which the Maldives proposed to the UN in 1989 and of which I am the author. They were fully consistent with the principles set out in UN resolution 2625 and with the regional and the bilateral agreements in force between the two countries.

“To suggest that a call for proactive regional security cooperation was tantamount to treason only reflects the international outlook of those currently governing the Maldives; and I strongly disassociate myself from any such imputation,” added Zaki.

Political groups within the Maldives have been calling for the government to annul the Ibrahim Nasir International Airport (INIA) development contract with Indian infrastructure giant GMR.

The Adhaalath party have played a pivotal role in the anti-GMR campaign, staging multiple protests and an issuing an ultimatum for the government to adhere to.

The first six-day ultimatum to “reclaim” the airport was originally announced by the party earlier this month. However, this was extended to November 30 after no action had been taken by the government by the end of the six-day deadline.

Following the latest ultimatum Sheikh Imran warned of “direct action” should there be no conclusion to the dispute by November 30.

Defence of Mohamed Fahmy

Muthalib rcently caused controversy over his comments relating to the dismissal of President of the Civil Service Commission Mohamed Fahmuy on charges of sexual harassment.

Muthalib spoke against removing Fahmy, excusing his actions as being “encouraged” by Satan.

“If we are to make our women nude and exposed, and then send them out to mingle with men, then why speak of protecting them? Honourable Speaker, this cannot be done in this manner. If a man and a woman are in a room alone, Satan will be there as the third person and will encourage sinful activities,” Muthalib said.

“Their place is in their houses, to serve their husbands and look after children. If we give them the opportunity to go out and mingle then we can no longer talk about their dignity and protection. It is people who harass women who are now speaking in their defense here today,” he further added.

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Dr Waheed will be PPM presidential candidate, predicts former President Nasheed

President Dr Mohamed Waheed Hassan Manik will become the presidential candidate of the Progressive Party of Maldives (PPM) with the backing of its leader Maumoon Abdul Gayoom, former President Mohamed Nasheed has predicted.

Speaking at a rally in Shaviyani Foakaidhoo on Saturday night during the on-going ‘Journey of Pledges’ northern tour, Nasheed alleged that his former vice president held secret consultations with PPM interim leader and figurehead, former President Gayoom, before the controversial transfer of presidential power on February 7.

“Dr Waheed has been scheming with President Maumoon for about two years, that I know of,” Nasheed said. “Sometimes in an uninhabited island in Baa Atoll, other times in Alivaage [Gayoom’s former residence]. They have been discussing and talking in different places. Anyone who thinks of carrying out a coup d’etat will know that one thing you need for it is a disloyal vice president.”

Nasheed noted that the post of vice president was not included in the old constitution that was twice revised during Gayoom’s 30-year rule.

The Maldivian Democratic Party (MDP) presidential candidate reiterated his allegation that Gayoom orchestrated a “coup d’etat through Dr Waheed” on February 7.

A week before Nasheed’s resignation in the wake of riot police assaulting MDP members and ransacking the party’s meeting hall followed by a police mutiny at Republic Square, Dr Waheed met with opposition politicians at his official residence at 1:00am, after which they pledged allegiance to the then-vice president and called on the security forces not to obey then-President Nasheed.

“In my view, Maumoon is trying to make Dr Waheed PPM’s presidential candidate,” Nasheed said on Saturday night.

He added that Gayoom’s intention was to rule by proxy, alluding to a sultan who wielded power through a sibling on the throne while residing in Egypt.

Nasheed suggested that PPM’s presidential primary was being pushed back because PPM parliamentary group leader, presidential hopeful and half-brother of Gayoom, Abdulla Yameen, would not accept Waheed becoming the party’s candidate.

Addressing party members at a rally on Thursday night to celebrate PPM’s first anniversary, Yameen reportedly claimed that PPM was the only party within the ruling coalition that was defending the government and expressed disappointment with the coalition becoming “fractured.”

Nexbis deal

Yameen also called on the government to “immediately” terminate the controversial border control system agreement with Malaysian company Nexbis and contended that the project was detrimental to the state.

The parliament’s minority leader also criticised the government’s hesitancy to cancel the agreement despite the Anti-Corruption Commission’s (AAC’s) findings of alleged corruption in the deal.

Local media meanwhile reported that parliament’s Finance Committee decided during a closed-door session on Thursday to instruct the executive to halt the project. The decision would however have to be approved through a vote on the Majlis floor following consideration of a report by the committee.

In September, the ACC informed the committee that the deal would cost the Maldives MVR 2.5 billion (US$162 million) in potential lost revenue over the lifetime of the contract.

Following its investigation into alleged corruption in awarding of the contract to Nexbis, the ACC requested the Prosecutor General’s Office (PGO) press criminal charges against former Controller of Immigration Ilyas Hussain, brother-in-law of President Waheed.

Almost a year after the case was forwarded to the PGO however, no charges have been pressed against the former immigration chief to date. The ACC alleged that Ilyas Hussain had abused his authority for undue financial gain.

Ilyas – a senior member of Dr Waheed’s Gaumee Ihtihad Party (GIP) – was transferred from the post under President Nasheed when the corruption allegations first surfaced.

His successor Abdulla Shahid expressed concern over both the cost and necessity of the project, calculating that with continued growth in tourist numbers Nexbis would be earning US$200 million in revenue over the 20 year lifespan of the agreement.

Following Dr Waheed’s swearing-in as president on February 7, Ilyas was reappointed controller of immigration. He was however replaced in May with Dr Mohamed Ali and appointed State Minister for Defence.

Former President Nasheed meanwhile alleged in his speech on Saturday that Dr Waheed’s GIP’s Deputy Leader Mohamed ‘Nazaki’ Zaki was complicit in the corrupt dealings in his role as Ambassador to Malaysia.

“Before the [border control] system was established, before there was even a contract in effect, I later heard that equipment was kept in some warehouses in Male’,” he said, claiming that the warehouses were owned by Nazaki Zaki.

Nasheed added that he “agreed completely with Yameen” that the allegations should be investigated.

Delayed congress

Meanwhile, PPM announced in October that its first national congress has been postponed for a third time. The party’s charter however stipulates that a congress must be held within six months of its formation to elect leaders, after which a primary would take place to select a candidate for the upcoming presidential election.

Local daily Haveeru reported a source within the party citing “political turmoil” as the reason for the delay.

The party held its inaugural convention in October 2011.

Meanwhile, in August, Waheed told the Hindu during a visit to Sri Lanka that he was “contemplating” running for office in 2013.

“What I have said is that our administration supports the earliest date for Presidential elections allowed under the Constitution. That in my mind will be July, 2013. I am hoping that the election will be at that time,” he was quoted as saying.

In the same month, former President Gayoom publicly welcomed the prospect of Dr Waheed competing in a primary for the party’s ticket.

In May, PPM Deputy Leader Umar Naseer told local media that Dr Waheed could potentially become the party’s presidential candidate. Naseer however claimed earlier that Waheed would not stand for re-election.

Dr Waheed is currently leader of the GIP, which has no representation in either the People’ Majlis or local councils and just 2,515 registered members, according to the latest figures from the Elections Commission (EC).

By comparison, PPM currently has 17,486 members and is the minority party in parliament. The party has also won nine out of 12 by-elections held since its inception last year.

Speaking at the PPM rally last week, Gayoom urged senior leaders of the party to be mindful of the party’s unity during the upcoming primary. The party’s national congress is now scheduled for January 2013.

NasheedIn his speech, Nasheed meanwhile urged MDP members to begin the presidential campaign with the consideration that PPM’s candidate will be Dr Waheed with Dhivehi Qaumee Party (DQP) Leader Dr Hassan Saeed as his running mate.

“This is how I see the picture,” he said. “I am someone who tries to study how President Maumoon does thing. I don’t believe that things could transpire differently after this.”

Nasheed went on to say that the MDP would “easily” beat Dr Waheed as the PPM’s presidential candidate in 2013.

The former President observed that PPM’s strength was in “small islands” and the “the smaller the island, the more support it has,” which was akin to “a disease” that causes the tormented to defe the tormenter.

However, Nasheed noted that in the local council elections in February 2011, MDP won nine out of 11 seats in the Male’ City Council, all six seats in the Addu City Council and made clean sweeps of a number of larger inhabited islands such as Kulhudhufushi in Haa Dhaal atoll and Thinadhoo in Gaaf Dhaal atoll.

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“Not the right time” to reveal the details of MP Afrasheem’s murder, says Police Commissioner

Commissioner of Police Abdulla Riyaz has stated that the Maldives Police Service (MPS) believes it is “not the right time” to reveal the details behind the brutal murder of Progressive Party of Maldives (PPM) MP Afrasheem Ali.

In an interview given to local newspaper Haveeru this Sunday, the commissioner said that police would disclose the information only when it gained full “confidence” in the case and said investigations were still being carried out.

Riyaz claimed that the case was “high profile” and therefore a lot of things needed to be confirmed and validated before details were disclosed to the public.

“The investigation is going very well, and so far very successfully indeed. I will reveal the details of the case to the public. But I am not going to say it will happen on a specific date,” he said.

High profile murder

MP Afrasheem was brutally stabbed to death on the night of October 1 , outside his home.

The MP who was a renowned religious scholar in the country, known for moderate views towards Islam – was found murdered after returning from an appearance on the “Islamee Dhiriulhun” (Islamic Life) programme broadcast on state television. He had appeared on the show alongside Deputy Minister of Islamic Affairs Mohamed Qubad Aboobakuru.

The local media reports suggested that the MP was stabbed four times in the back of the head and a chunk of his skull was missing, and that he had also suffered stab wounds to the chest and neck. The MP was rushed to ADK hospital where he was pronounced dead.

He was was buried shortly before 5:00pm the following day at Asahara cemetery in Male’.

Thousands gathered for the funeral prayers which took place at the Islamic Center. The prayers were led by former President and leader of Afrasheem’s party, Maumoon Abdul Gayoom.

Initially, four suspects were arrested by police in connection to the murder and the Criminal Court extended the detention period of the arrestees for an additional 15 days.

However, a female suspect arrested – Maldivian Democratic Party (MDP) activist Mariyam Naifa – was given a conditional release on October 21 while the detention of the remaining two suspects were extended for another 15 days.

Another suspect was also arrested later in November, after police claimed he was wearing the same colored shirt as someone caught on CCTV footage near the area where Afrasheem was murdered.

Police at the time stated that two US Federal Bureau of Investigation (FBI) officials were providing “technical consultancy” in investigating the murder of the MP.

The MDP has since alleged that the arrests were politically motivated, expressing concerns that the “brutal murder of a respected and elected member of the Parliament” was potentially being used to frame political opponents.

In a press conference held on October 3, Assistant Commissioner of Police Hassan Habeeb dismissed the claims stating that they were “not arresting people based on their political affiliations.”

“Anybody who has compassion and magnanimity will not compete for Afrasheem’s seat” – Home Minister

Following the murder, Elections Commission (EC) announced that the by-election for MP Afrasheem’s seat would be held on December 1. Following the announcement, three candidates announced their candidacy to contest the elections.

The candidates included Afrasheem’s brother Ibrahim Ameem from PPM, Dr Ahmed Ashraf from the MDP, who lost to Dr Afrasheem in the previous parliamentary election in 2008, and an independent candidate.

Both the PPM and MDP have been vigorously campaigning for the seat while President Mohamed Waheed Hassan and Home Minister Mohamed Jameel Ahmed were also seen frequently visiting the island and making speeches in favor of the government-aligned PPM candidate.

During an official visit to the island, President Waheed claimed that his administration had achieved a lot of development on the murder case of Afrasheem while in a more recent trip, Home Minister Jameel expressed concerns relating the death of the MP to MDP.

Speaking at a function held on Meedhoo in Raa Atoll island on Sunday, Jameel stated that he was “highly concerned” over the remarks made by the senior figures of MDP, including former President Mohamed Nasheed,which he claimed undermined the credibility of the forensic evidence that the police already had.

“I am deeply concerned over what we have found out from the investigation so far. [I believe] in this country, everybody should be responsible for their actions,” he said.

The minister further added that it was the MDP that criticised the statements made by the government-aligned parties in the defense of MP Afrasheem Ali while he was alive, and said it surprised him when the MDP all of a sudden became so concerned about the murder.

He called on the people of the Ungoofaaru Constituency that they should hand over the parliamentary seat of the constituency to the family of deceased MP Afrasheem Ali, as he was the PPM candidate for the seat.

“We’ve got to take back the seat where it was. There are a lot of reasons for us to act in that manner,” he said.

“Anybody who has compassion and magnanimity will not compete for that seat,” the Home Minister added.

“Politicising MP Afrasheem’s murder” – former President Mohamed Nasheed

The remarks made by President Waheed and Home Minister Jameel were met by severe criticism by the opposition MDP.

In a tweet, former President Mohamed Nasheed claimed that the senior officials of the current government including President Waheed were making political statements over the death and claiming that their remarks lack the backing of sufficient evidence.

Nasheed vowed that if elected, he would find the real murderers of MP Afrasheem Ali, and said he had repeatedly called on the police to reveal the truth about the case instead of utilising it for political gain.

In a statement released by his office, Nasheed expressed concern over the government’s actions to politicise the “tragic murder”. He claimed that politicisation of the case “may leave the real murderers free to re-commit such crimes”.

The statement also expressed concerns over the remarks made by the police commissioner over the case.

“The office is deeply concerned over the fact that just six days before the b-yelections are to take place for the seat vacated following Dr Afrasheems murder, the government and the Maldives Police Service claim they have found Dr Afrasheem’s murderer,” read the statement.

However the Police Commissioner denied the claims stating that under his watch, he would make sure all the details presented to the courts as well as the public were free from political influence.

So far, police have yet to reveal any substantial details of the case. Police have previously arranged a press conference but canceled it at the last minute.

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Three men arrested with alcohol, snakes

Police have arrested three men in possession of alcohol and snakes.

In a statement issued today police said they conducted a special operation last night at about 10:15pm, after receiving intelligence reports.

Police said a 21 year-old man and two 23 year-old men were arrested.

According to the police statement they were arrested near Ahigasdhoushuge in Maafannu ward. A room in the third floor of the house was rented by one of the men arrested.

Police searched inside the room and discovered 15 bottles of Finlandia vodka, 24 cans of beer and three snakes.

Police said the operation was very successful and stated that police had earlier received intelligence report that one of the men arrested was conducting a widespread trade of illegal alcohol in Male’.

The Drug Enforcement Department is currently investigating the case.

Police Sub-Inspector Hassan Haneef told Minivan News that two of the snakes were a dangerous species and were on the list of contraband.

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Case on parliament property damage by MDP MPs to be submitted to police

A case concerning damage caused to parliament property by Maldivian Democratic Party (MDP) MPs on 19 March 2012 is to be submitted to police.

The Parliamentary Behavioural Committee passed a motion to submit the case following a meeting held today (November 26).

Parliament has informed that on the day in question, damage was caused to desks, touch screens, 15 name boards, mic systems, administrative desks and voting cards in the parliament chamber.

Progressive Party of Maldives (PPM) MP Ahmed Mahloof proposed the case, which was then supported by PPM interim deputy President MP Abdul Raheem Abdullah.

Five out of 10 members present at today’s committee meeting voted in favour of submitting the case to the Police.

Committee Chairman and PPM MP Mohamed Mujthaz did not participate in the vote.

MDP committee members proposed that no motions should be passed by the committee until the regulation on behavioural issues of MPs is passed by parliament.

This proposition was voted in favour by four MPs, including independent member for Velidhoo MP Ali Mohamed.

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