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Gayoom makes Male’ return amidst council elections and DRP turmoil

Former Maldives President Maumoon Abdul Gayoom returned to Male’ yesterday ahead of campaigning for next month’s local council elections saying he would not be attributing blame for the current disputes over the leadership position of the Dhivehi Rayyithunge Party (DRP) that he once held.

Haveeru reported that Gayoom was greeted to Male’ by supporters saying that he was looking for a “smooth solution” to a war of words between current DRP leader Ahmed Thasmeen Ali and former Deputy Umar Naseer, who was dismissed from the party by its disciplinary committee late last year.

The animosity between the two political figures appeared to come to a head last month amidst reports of violence at a meeting held at DRP headquarters between rival supporters loyal to either Thasmeen and Naseer over gaining entry to the event.

The former president told the paper that he saw the current developments within the party as disputes rather than the formation of factions within the country’s main political opposition group, but claimed that he didn’t believe one individual was to “blame”.

“What is best is to opt for dialogue in order to find a peaceful and a smooth solution to the disputes. I am trying to unite the party,” he was quoted as saying by Haveeru.

Gayoom added that consideration on running as a candidate for the 2013 presidential election was not on his mind at present as the contest was “still too far away.”

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Development to speed up under new budget: President Nasheed

The passing of the 2011 state budget will allow for much faster development of infrastructure projects across the Maldives, President Mohamed Nasheed has said, as street protests by NGOs, civil servants and private citizens took place last week over concerns about the finance plan.

Miadhu reported that the president used his radio address on Friday to claim that the country’s finances for 2011 represented “a different type of budget” following multi-party consultation. Nasheed also said that he was hopeful the “objectives” of this year’s budget could all be achieved by 2012.

Miadhu reported that the budget has been said to be designed for the first time around various government programmes mandated by the Maldivian Democratic Party’s (MDP) own manifesto.

“As the budget is implemented, it will show how much we achieve or how much we fail to achieve,” Nasheed was quoted as saying in the paper’s online edition. “The budget is based on programmes, which are government pledges. The budget’s objective is to fulfil those pledges.”

On Thursday, hundreds of protestors took to the streets around the Majlis to show their frustration at amendments included within the budget that could lead to increased salaries and other privileges for MPs.

According to the new bill, parliamentarians could receive up to an additional Rf20,000 in their salaries for attending committees, while also being allowed to import vehicles without paying any duty on them.   Parliament also approved measures to reinstate the salaries of independent commissions, while failing to address the reduced salaries of civil servants.

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New Year brings new tourism tax to Maldives

The New Year has potentially ushered in a new era for the Maldives’ lucrative holiday market as a Tourism Goods and Services Tax today comes into effect placing an additional charge of 3.5 per cent on a host of services supplied by the country’s travel industry.

The new tax is set to be levied on a wide of services; from room rates at resorts, guest houses and liveaboards, to tourist vessel hire and the cost of food and drink, diving schools and domestic transportation.

Speaking this week to the Agence France-Presse (AFP) service, acting Finance Minister Mahmood Razee claimed that the implementation of the new tax represented a government strategy aiming to roll out more direct national funding from Maldivian industries, where operators like resort owners have not previously been required to pay profit or income tax.

“It will gradually be extended to other [business] sectors… to reduce relying on indirect taxes, especially import duties that hurt the poor,” Razee told the AFP.

Mohamed Maleeh Jamal, Secretary General for the Maldives Association of Travel Agents and Tour operators (MATATO), said that as an organisation, it was not against a service tax within the travel market, yet he claimed that concerns existed how the funds would be implemented.

“We as MATATO have concern over the negative impact there may be from the tax on local travel agents in the Maldives, which unlike other travel markets, has no law protecting [domestic] operators,” he told Minivan News. “This can make it hard to be competitive when foreign operators are also working directly with resorts and the industry to obtain strong value.”

Pointing to key travel markets like the UK that have themselves last year instigated amended departure taxes such as an Air Passenger Duty (APD), Jamal said he believed there was international industry concern over the “Maldives becoming a more expensive destination”. He claimd that the taxation developments could hamper the country’s competitiveness against other holiday hotspots.

However, the MATATO Secretary General said that the association did not have issues with the actual figure of 3.5 per cent being added to services in itself and remained positive that MPs would still be able to help try and alleviate some industry concerns over the new tax rates.

“We are hoping we can discuss measures with parliament that will help protect local travel agents,” he said.

With the new rates in place as of today, Jamal said that the industry had already begun working with tax authorities to ensure its members and the wider travel industry understood how to deal with the new system.

“Some of our [travel] agencies have not quite been clear on how the tax works,” he said. “It takes time to become familiarised with such a new system.”

In looking back, 2010 had be seen as providing a positive turnaround in visitor figures.

Official statistics from the Ministry of Tourism, Arts and Culture released in November reported year-on-year visitor growth of 21.8 for the first ten months of the year.

Between January to October 2010, the official ministry figures showed that 63.3 percent of visitors to the Maldives came from European markets. Asia Pacific territories contributed 32.3 percent of overall travel demand to the country during the same period.

Publication of the figures followed a period of turbulence for the tourism industry towards the end of the year generated by media coverage of a video recording of a ‘false wedding’ conducted at the Vilu Reef Resort and Spa. Footage leaked onto video sharing sites like Youtube depicted some staff members mocking a Swiss couple in the local dialect of Dhivehi during a vow renewal ceremony being leaked online. The incident garnered both local and international coverage.

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Controversial salary amendments not yet approved, say MPs

MPs “have not taken pay increases”, Deputy Speaker of Parliament Ahmed Nazim has said, despite the Rf20,000 wage hikes for MPs included in the 2011 state budget approved yesterday.

Deputy Speaker Nazim said the proposed wage hikes must receive additional approval by the Majlis before they can take effect.

Despite “cross party support” for budgetary amendments allowing additional MP privileges like salary increases, he said, no wage hikes have actually been approved. Nazim anticipates that the proposals, considered a possible means of improving parliament’s “productivity”, would come under review in March after the recess.

The claims were made at the first session of the Mjalis since it passed the 2011 state budget. It opened to chants of “We need cash” from protesters gathered near the parliament building, angry over the salary amendments passed as part of a budget said to be aimed at cost-cutting.

However, acting Finance Minister Mahmood Razee said he believed the budget had been passed relatively well. He added that any amendments such as those suggested for MPs’ salaries – passed yesterday by a majority of members – would still ultimately require presidential approval.

In addition, the acting Finance Minister said, all amendments would ideally fulfil the commitment to keep the budget at about Rf12.37bn for the year ahead.

These commitments are also focused on trying to ensure a budget deficit of around 16 per cent, which has been sought in an attempt to appease institutions such as the International Monetary Fund (IMF), which suspended finance to the country earlier this year over concerns about it living beyond its means.

However, Nazim, who also serves as Deputy Leader of the opposition People’s Alliance (PA) party, rebuked the optimism shown by the acting finance Minister. He added that concerns remained among some “opposition and independent MPs” over a lack of detail in the budget, such as in the funding of enterprises like the Maldives National Broadcasting Corporation (MNBC).

Addressing the topic of MPs salaries outlined under amendments to parliamentary privileges, Nazim claimed  the salaries were not solely a “money issue”, but were also part of an attempt to test methods for improved “productivity” among the Majlis.

“The amendments were not to do with spending cuts, the salary structures have been amended as part of measures to increase productivity among members, which will be reviewed by parliament’s Public Accounts Committee,” he said. “The figure of Rf20,000 is an upper ceiling level that parliament will look to see whether it can be increased, it doesn’t mean anything has been passed.”

“We are not taking a pay rise,” Nazim added.

In looking at the wider budget, Nazim stressed that there remained concerns among some MPs over a number of proposed amendments to the budget, such as those concerning MNBC, that had been dismissed by Parliamentary speaker Abdullah Shahid as “not in the budget”.

Citing the 2010 budget that he claimed had not outlined funding for the MNBC, Nazim said  the government still provided a total of Rf54m for monthly salaries to the broadcaster, which had not been accounted for once again in the latest state finances.

The Deputy Speaker also noted that the state-owned Maldives National Shipping Limited, which  had required Rf84 million from the government’s contingency budget in 2009 had also required another Rf48 million so far this year.

In light of the recent privatisation agreement with Indian infrastructure group GMR to manage Male’ International Airport, Nazim asked why the government had “not sold off” the shipping enterprise to aid finances.

“The government refused to give this contingency budget out before it was brought to the Majlis,” he said. “They have not cooperated with parliament. Though there have been improvements since the acting [Finance] Minister came in, we still believe there has been systematic abuse of the system.”

From a government perspective, Acting Finance Minister Razee claimed that he believed budget discussions had “actually gone quite well”.

He said the approved budget was within the Rf12.37bn first projected earlier this month, but amendments would require it to “take some funds from existing programmes” so they could be invested elsewhere.

Razee said he remained hopeful that the funding would not significantly impact the proposed target for an annual budget deficit of 16 per cent.

However, he conceded that possible amendments to programmes within the budget could yet “be more significant” in terms of their financial impact than anticipated.

When asked if passing proposed amendments to parliamentary privileges such as increased wages for MPs was a failure for a budget aimed at cost reduction, Razee said that the proposals were not part of the government’s original plan.

“These [privileges] were amendments to existing bills,” he said. “Obviously, these amendments that have been provided would have to be approved by the president, who would decide if there was enough revenue to support such an increase.”

Razee added that he did not have the figures on the exact numbers of MPs and party members who had voted to approve the amendments that included the privileges, though he confirmed they “had been passed by the majority”.

“I can’t say why people voted for it, the amendments had included allowances to independent institutions so perhaps they were confused,” he claimed.

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Police strategy launch focused on challenges of expansion and “emerging” crimes

Despite uncertainty over funding allocated by the 2011 budget, the Maldives Police Service has today unveiled commitments to try and expand its services among a wider number of islands in the Maldives, whilst also prioritising the prevention of “emerging” threats like cyber crime and human trafficking.

The commitments were announced as part of a new strategic plan outlining key focus areas for police between 2011 and 2013. These focuses include aims to extend measures on the prevention of cyber crime, human trafficking, “extremist ideologies” and piracy, along with more day to day crimes such as theft, violence and drug abuse.

Yoonus Sobah, head of the Bureau of Criminal Records and a member of the Police Service’s strategic development department, told Minivan News that any new commitments outlined for policing the nation were tied, and perhaps limited, to the 2011 state budget that had just been passed yesterday.

Saboh said that the force had not therefore outlined any additional projects in the “short run”, such as new island-based police stations or other service extensions.

“Our goal is to have our services increased across the islands, though this has to be linked to the budget,” he said. “Initially, this means there will be no new police stations constructed, though there are five additional structures in development across a number of islands that were already planned.”

According to Sobah, as part of strategy to try and improve delivery of policing across the country, the service is moving ahead with “decentralisation plans” to try and create a strong presence across the country’s capital islands. Such a focus is expected to allow for cases that were previously transferred to Male’ to be examined on a more local regional basis instead, according to the Police Service spokesperson.

On a wider national scale, Sobah said that the new police strategy would aim to increasingly deal with “emerging” larger-scale crimes such as financial misconduct, people smuggling and even maritime protection in conjunction with groups like the Maldivian National Defence Force (MNDF).
“Alongside our commitments to street crime, we will try and prioritise on bigger cases that we are not as experienced in solving, such as cyber crime,” he said.

Sobah added that so called larger or “emerging” crimes also involved potential external threats such as terrorism, piracy and financial crime.

Speaking today during the unveiling of the new three year police strategy at the Iskandhar Koshi bulding, Commissioner Ahmed Faseeh highlighted the importance of serving the people with loyalty and integrity and how the new strategic plan could help met these aims.

“The purpose of the police is to enforce the law and maintain a peaceful environment in the society,” said Faseeh. “This strategic plan was established after conducting research with the practical assistance of the Scottish police.”

In addressing the challenge of “emerging” criminal activity in the Maldives such as cyber crimes, the commissioner said he believed progress was already being made.

”The police have achieved satisfying progress in the last three years when we worked under the recent strategic plan,” he added.

Home minister Afeef claimed that although the last police strategic plan was not fully successful in meeting its aims, police achieved satisfying results nonetheless.

”Other institutions related to the work of the police should also cooperate more to achieve their best,” said Afeef. ”Police are ready to take the risk, although they have to deal with the most violent criminals in the country.”

He also appealed for witnesses at crime scenes to be more cooperative with the police when providing information.

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Education Ministry denies informing Arabiyya School board to mix genders

Deputy Education Minister Dr Abdulla Nazeer has denied his department ordered the management of Arabiyya School to mix classes of male and female students in grade eight in an attempt to solve capacity issues at the site.

Daily newspaper Haveeru has reported that the Principal of Arabiyya School, Sheikh Mohamed Rasheed ibrahim Rasheed, had claimed that management at the site had been informed by the Education Ministry to mix females and males in grades eight and nine to try and solve the capacity issue.

”After the capacity issue of Arabiyya School came to light, outrage was sparked among parents, who then came out to protest,” said Dr Abdull Nazeer. ”Therefore, the ministry looked in to the matter and examined the registry of the school. We found out that there were classes conducted with only 14, 13 or 12 students.”

Dr Nazeer said that the ministry then advised the school management that if these classes were merged, the issue would be solved ”as the standard capacity for a classroom is 32 students.”

”If the school management wishes, they could still continue the classes with fewer students,” Dr Nazeer said. ”We never forced or ordered the school management to do so.” He added that most of the classes in Arabiyya School already had female and male pupils studying together.

However, Haveeru quoted Arabiyya’s principal as saying that he was not comfortable with allowing female and male students to receive mixed education in grade eight and nine due to religious and social concerns.

Sheikh Rasheed added that his concerns were shared by parents of the school’s students.

According to Haveeru, the decision to merge classes would allow 64 students to enrol in grade one of Arabiyya School. Sheikh Rasheed was not available for comment at the time of going to press when contacted by Minivan News.

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Former MDP leader shaping new political party

The former Maldivian Democratic Party (MDP) president, Dr Mohamed Munawwar, appears set to helm a new political party within the Maldives after submitting 3258 names to the Elections Commission for registration, Miadhu has reported.

Under the name of the Maldives Reform Movement, Dr Munawwar has claimed the new party is expected to be represented by young Maldivians, adding that no “famous” political figures have yet to join with him.

Elections Commissioner Fuad Thaufeeq has said that time would be needed to process and verify the 3258 names it had been presented, Maidhu added. Under Commission regulations, a party must have 3000 available members to be considered for official registration

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Anti-Majlis protests hit the capital’s streets

Hundreds of protesters have today gathered near parliament to call on the abolition of the Majlis, citing anger over the passing of a bill to extend MP privileges within the state budget.

Activists, which sources have claimed support a number of political parties, joined civil servants, NGOs and other workers near the parliament building to protest against the actions of the Majlis, leading police to restrict access to some streets around the area.

The outrage was said to have been sparked yesterday when parliament passed allowances for parliamentarians that the protesters believe is ‘’way too much’’.

According to the new bill, parliamentarians will receive an additional Rf20,000 to their salary for attending committees, while also being allowed to import vehicles without paying any duty on them. The parliament also approved measures to reinstate the salaries of independent commissions, while failing to address the reduced salaries of civil servants.

This decision has led protesters to claim that MPs were working for their self-interest in the name of working for the nation and citizens in their work.

By this afternoon, a group of protesters brought a box written “Majlis Fund” that was passed beyond the police barrier, before they joined others in heavily criticizing the country’s MPs.

As a result, local media reported that tempers also flared within parliament, as rival MPs clashed with each other forcing speaker Abdulla Shahid to cancel today’s sitting. Haveeru said that some MPs had argued to withdraw the bill for amendment, with Dhivehi Rayyithunge Party (DRP) MP Ahmed Maloof one of the names said to support a repeal of the privileges bill on claims that it was against the “pulse of the people”.

Today’s street protests follow on from similar action undertaken last night by the ‘Tortured Victims Association’, which was disrupted after some people present clashed with the Maldivian Democratic Party (MDP) parliamentarian group leader Moosa ‘Reeco’ Manik, verbally assaulting him over the issue of budget.

The protest, which involved around 20 to 30 people over practices of torture allegedly committed under the rule of former President Maumoon Abdul Gayoom, ended up as a protest against all the parliamentarians. A few protesters then marched towards the house of Speaker of the Parliament Abdulla Shahid later in the evening.

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Budget approved with five amendments: report

The Majlis have approved the 2011 state budget just days ahead of a constitutionally-mandated New Year deadline.

The budget was approved this afternoon with five amendments after 69 out of 76 members present within parliament voted in favour of the finance plan; four members voted against the plans, Haveeru has reported.

A total of five amendments and 18 recommendations were put forward for the budget, though Parliamentary Speaker Abdulla Shahid reportedly ruled “most” of the amendments for being “unconstitutional”.

Parliamentary members including representatives for both the ruling Maldivian Democratic Party (MDP) and the opposition Dhivehi Rayyithunge Party (DRP) were unavailable or unwilling to comment on the budget to Minivan News at the time of going to press, other than to confirm the budget had been passed.

Among the amendments reported to have been included were the transfer of Rf7.1 million from an infrastructure development fund to help the Islamic Ministry with mosque renovation, which was submitted by Fares-Maathoda MP Ibrahim Muthalib.  The amendment was approved by 38 votes to 35 against.

Other recommendations adopted in the budget included the prioritising of harbour developments and revetment projects based on a system of merit and those islands most in need, as well as the provision of subsidies for parties providing electricity in areas with an absence of a powerhouse or utilities companies.

A recommendation forwarded by Inguraidhoo MP Hamdoon Hameed calling on the National Planning Department to publish a quarterly report with updates on projects from both loan aid and individual funding was also approved 71 to two in favour. Hameed also had a recommendation to include individual project details within next year’s annual budget approved by a similar margin.

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