The Human Rights Commission of the Maldives (HRCM) has said the delay caused by the deadlock in parliament is obstructing citizens obtaining the human rights promised them under the constitution.
HRCM said laws and rules are necessary elements for people to obtain their basic human rights, and other services the state should deliver the citizens.
“As it is the constitutional duty of the parliament to legislate, [this delay] causes the citizens to lack their rights and also causes a loss of confidence in democracy, and obstructs the establishment of the rule of law in the country,’’ HRCM said. “When the necessary laws are not passed, it becomes an obstacle for the state to fulfill tis the constitutional duty as stated under article 18, to protect and promote human rights.’’
HRCM noted that the Witnesses bill, Penal Code, Criminal Procedure Bill , Law on Taxation and National University Law were yet to be passed, as parliament entered its third week of inaction following clashes over the cabinet endorsement issue. Today’s parliament sitting was also canceled after the MPs clashed over the cabinet endorsement issue. The 10 day public holiday begins on Thursday.
HRCM called on parliamentarians and political parties to work in the best interest of the nation and its citizens.
The opposition and the ruling party have blamed each other for the cancellation of the parliament sittings, and each session is derailed on points of order.
The Maldives Civil Servants Association (MCSA) has called on the Home Minister Mohamed Shihab to resign from his post after the Home ministry declared that island councilors will be head of the island offices during the Local Council Elections.
Spokesperson of the MCSA Abdulla Mohamed said that the decision of the home ministry was “against the advice of President Mohamed Nasheed” and “also unconstitutional.”
“It shows the irresponsibility of the minister,’’ said Abdulla. “It will influence the outcome of the Local Council Elections and will obstruct them from being conducted freely.”
Abdulla said that he was not saying all the councilors act against the interests of democracy.
“But it is the nature of humans – they are political appointees appointed by politicians and their duty will be to uphold the policy of their head,’’ Abdulla claimed. “When they take over the island office, they will become a ‘shadow’ on a free democratic election.’’
He said the decision also showed that the home minister wanted to influence on the Local Council Elections and suggested Shihab resign “if he is unwilling to follow the constitution.”
State Home Minister Ahmed Adil said he could not comment on the issue, while Home Minister Mohamed Shiahab was unavailable at time of press.
The International Monetary Fund (IMF) has described as “absolutely false” claims made this week by opposition-aligned People’s Alliance (PA) MP Ahmed Nazim, that the institution had suspended its support of the Maldives because its program was not being followed.
MP Nazim, who is Deputy Speaker and also Chair of Parliament’s Finance Committee, told Minivan News yesterday that the leader of the Maldives IMF delegation, Rodrigo Cubero, “said so in a meeting on November 4.”
“I think [the suspension] will make it difficult for other international financial institutions and donors to entertain the requests of the Maldivian government in the future,” Nazim said.
“Even though the amount of the IMF program is only US$92.5 million, adherence to the IMF program would have led to comfort letters from the IMF to other donors assuring them of the sound fiscal policies of the government.”
“Absolutely false”
At a press conference held in the Maldives Monetary Authority (MMA) on Monday, Cubero stated that media reports based on the claims were “absolutely false. That is not the position of the IMF. What we have said is that the disbursement under the second review of the program has been delayed. We have not suspended our program or our relations with the country, and we continue strongly engage with the authorities to complete the second review, and put policies in place to restore fiscal sustainability and economic prosperity in the Maldives.”
The ‘delay’, Cubero explained, was due to the “fiscal slippages” caused by insufficient progress towards reducing the wage bill and passing tax legislation – most significantly, the Business Profit Tax.
Civil Service without a smile
The country’s financial deficit has exploded on the back of a 400 percent increase in the government’s wage bill between 2004 and 2009, with tremendous growth between 2007 and 2009.
On paper, the government increased average salaries from Rf 3000 to Rf 11,000 and boosted the size of the civil service from 24,000 to 32,000 people – 11 percent of the total population of the country, almost triple that of a comparative island nation such as the Caribbean.
Both these measures – salary increases and civil service hires – doubled government spending from 35 percent of GDP to 60 percent from 2004 to 2006.
Nonetheless, despite the fourfold increase in salaries, a legal scrap this year between the Civil Service Commission (CSC) and the Finance Ministry following a 15 percent cut to civil servant salaries has effectively immobilised the government’s ability to reduce the wage bill.
For its part, the CSC does not contest the crippling state of the economy, but argues that cuts must be distributed fairly. The Ministry of Finance meanwhile accused the CSC of hiding “a political agenda”, and in February filed a case with the police asking them to investigate it on suspicion of trying to topple the government “and plunge the Maldives into chaos.”
State Finance Minister Ahmed Assad explained that the President last year issued an executive order to bring the salaries down, but had been blocked by the opposition-majority parliament.
“The Majlis stood against it,” he said. The government had initiated discussion with the Civil Service Commission, “but it has taken us nowhere and there’s been little progress this last year.”
The disagreement over salary restoration culminated in the Permanent Secretaries of Ministries being ordered to submit differing wage sheets by both the Finance Ministry and the CSC.
Meanwhile, the country’s financial deficit has grown to 26.5 percent of GDP, among the highest of any country in the world, placing the Maldives at risk of economic catastrophe. The IMF refused financing to Sri Lanka because the country’s fiscal deficit reached 10.5 percent.
Budget for austerity in 2011, or else: IMF
The forthcoming 2011 budget, explained Cubero, was “a crucial opportunity for the government to implement the austerity measures much needed. We will return to Washington and wait for the the numbers to be finalised. At the moment, the current policy stance is not sustainable.”
He acknowledged that the government faced “enormous difficulties, political and legal, in implementing its policy decisions”, but reiterated that the entire country was “living beyond its means.”
“With the government borrowing at the rate it has, it reduces the amount of credit available to the private sector, and that constrains the ability of the private sector to provide jobs and employment,” Cubero explained. “That then constrains economic growth. Furthermore, by spending more than it earns, the government is putting pressure on imports and the exchange rate.”
“This is in reality a simple thing. Think of an individual – if a family is consuming more than it earns, the only way to finance that is by accumulating debt. At some point the banks or creditors may not be willing to finance your debt. “
Continued growth of the deficit would impact the population as a whole, Cubero predicted. “We do hope the gravity of situation prevails and a reasonably constrained 2011 budget is passed.”
Last year parliament’s finance committee, headed by Nazim, amended the budget to include an additional Rf 800 million (US$62 million), including the restoration of civil servant salaries following the 15 percent pay cut, and subsidies for sectors ranging from fishing and agriculture to private media.
Media subsidies, when they arrived, were also allocated by the Finance Committee with 50 percent of the Rf 4 million total going to the two wealthiest private TV stations.
The government took a dim view of the ‘extras’: “It has to be kept in mind that the budget is made up of numbers; it is a mathematical transaction. If things are done for political reasons, the numbers won’t add up,” said President Nasheed in December 2009.
His remarks were met with outrage from members of the Majlis, who interpreted his comments as an attempt to undermine parliament’s role in the governance of the country.
Cubero said the IMF had presented its views of the economic situation to parliament and the opposition, and had held “a frank discussion”.
“We explained that there had a been delay with the third tranche pending completion of the second review. It was a very good and positive discussion, and I sense they have the commitment to do what is needed. They have very good opportunity to contribute to passing a tight 2011 budget, and needed tax reforms such as the business profit tax. Their support and the support of all stakeholders will be crucial.
“Otherwise,” Cubero stated, “the implications will be negative for everyone. We hope austerity prevails.”
The Maldives fiscal deficit of 26.5 percent is among the highest in the world, says the IMF
Playing politics with the economy
The IMF’s announcement came not without ample warning. In January 2010 it warned that: “Measures that substantially raise the budget deficit, such as a reversal of previously announced wage adjustments, [will put] put the program off track, jeopardising prospects for multilateral and bilateral international financing.”
Asked to comment on that warning at the time, Spokesperson of the CSC Mohamed Fahmy Hassan insisted that according to Maldivian law, the finance ministry had to pay the increased salary that month. In response, Assad pointed out that the IMF only gave economic advice, and was indifferent to a country’s law.
In June 2010, the IMF published its Country Report for the Maldives, which calculated that if the government continued to pursue economic reform at current pace and policy, the country’s fiscal deficit would increase by one percent of GDP in 2010 and 4.5 percent of GDP in 2011.
Meanwhile, the IMF observed in June, parliament passed the 2010 budget “with amendments totaling a seven percent (4.25 percent of GDP) increase over the government’s proposed budget.”
As a consequence, the report stated, “the annual deficit targets for 2010 and 2011 will be missed on current policies.”
Almost a year after the first warning, the generosity of the donor community and an uncharacteristically patient IMF – it has a reputation for being ruthlessly pragmatic with regard to local politics – have so far insulated the average Maldivian from the impact of the horrendous deficit. Consumer spending is booming and mobiles and mopeds abound, although indirect effects such as rising electricity costs and the resurgent dollar shortage have bitten the public.
But the IMF’s announcement today is a ‘shot across the bow’ that leaves the government in a decidedly unpleasant position, trapped between the source of its income – other donors do rely on the IMF’s assurances – and a parliament seemingly unwilling or unable to grasp the full extent of the problem as it closes its doors for the third week running.
Expenditure-wise, the government does not want to endure the loss of votes and most likely, unemployment, that will come with the degree of cuts demanded by the IMF.
As for revenue, vested business interests in parliament are unlikely to see the IMF’s vaunted Business Profit Tax passed unless the ruling Maldivian Democratic Party (MDP) were to gain a majority. The leaked audio recordings in early July added weight to the suspicions of many, as MPs were heard to negotiate the ceasing “of all work on the tax bills submitted by the government to the Majlis” until, among other things, a no-confidence motion was tabled against Finance Minister Ali Hashim. Nasheed’s cabinet resigned in protest against parliament “scorched earth politics” before this came to fruition.
The IMF did offer some good news. Despite the country’s twin problems of a crippling wage bill and inability to pass tax legislation through a suspiciously disinterested parliament, the country’s core economic base is sound, with a 5-6 percent increase this year on the back of a strong rebound in tourist arrivals.
But the IMF’s ‘delay’ in opening the purse strings for the third tranche ups the pressure and signals an impatience with the ‘business as usual’ approach taken by all parties involved.
So far the MMA’s efforts to drain excess rufiya from circulation have kept inflation under control, but worrying economic signals such as bank restrictions on the free flow of currency and repression of remittances from foreigners’ accounts have been mounting up. Minivan News has now spoken to the managers of several foreign businesses with offices in Male’, employing dozens of people, who say they are being forced to reevaluate the viability of operating in the Maldives.
These problems are are unlikely to be resolved in the long term by the US$78 million fee paid by Indian infrastructure giant GMR for Male’ International Airport, or yet more donor aid, as the government has implied. Aid is a moot point, as in January 2011 the UN graduates the Maldives to a ‘middle income’ country, severing the umbilical cord to both concessional credit and a degree of international aid funding.
Assad insists the government has included this graduation in its predictions, although he notes that the Finance Ministry had banked on the Majlis passing the tax bill by June.
“Some people say [the graduation] will increase borrowing capacity and give us more independence,” Assad said. “But like becoming an adult, it means taking on both freedom and responsibilities.”
The parliament sitting today was again cancelled this morning, with the political deadlock over the cabinet endorsement issuing immobilising the legislative branch of government for the third week runnig.
Speaker of Parliament Abdulla Shahid canceled the sitting and suggested the political parties come to an understanding over the cabinet endorsement issue, the same request he made last week.
The previous sitting was also canceled after the opposition and ruling party MPs clashed over the issue of cabinet endorsement, and MPs refused to debate other bills.
The opposition and the ruling party MPs have been continuously blaming each other for parliament’s repeated cancellation.
Opposition MPs claim that the ruling Maldivian Democratic Party (MDP) MPs were declining to follow the parliament’s rules of procedure and alleged they were trying to influence parliamentary proceedings.
Opposition MPs have demanded individual approval of each member of the cabinet, and announced that they intend to disapprove six current cabinet ministers.
However, MDP MPs believe that the parliament should amend the rules of procedure and shall give consent to the cabinet as a whole rather than voting individually, as the no-confidence motion already exists.
President Mohamed Nasheed has said in his weekly radio address that although the parliament voted to dismiss any member of the cabinet, they will still remain in office, despite parliament’s disapproval.
Opposition Dhivehi Rayyithunge Party (DRP) MP Ahmed Nihan once again said that MDP MPs were deliberately forcing the speaker to cancel the parliament by constantly creating point of orders, to try and dismiss the cabinet endorsement issue from parliament’s agenda.
”After what the president said during his radio address, we were comforted at the thought that MDP MPs would remain silent as they were told and would let the cabinet endorsement issue continue,” said Nihan. ”We condemn this act of the ruling party, it is regrettable that the parliament has malfunctioned for nearly three weeks now.”
Nihan said there was a lot of other work that the parliament needs to complete.
”There will be the budget that has to be passed by the end of November, work on the Tax Bill is also at a halt, and the committee meetings as well,” he said.
He called on all the political parties to discuss the issue and to arrive to a common understanding so that the parliament could reinstate its work.
President Nasheed said during his weekly radio address that disapproval by parliament would mean ministers would be dismissed, and suggested MDP MPs to remain silent during the vote so parliament’s agenda could proceed.
Press Secretary for the President Mohamed Zuhair told Minivan News that it was unfair to say that only MDP MPs were responsible for the parliamentary deadlock.
”The real issue is due to a misconception in the meaning of the constitution, for there are MPs in the parliament who still have an ancient way of translating the constitution,” said Zuhair. ”It is regrettable that the parliament have arrived to a halt .”
Zuhair said the opposition was now effectively obstructing the president from establishing his government.
”Some of them cannot accept defeat and are attempting to obstruct the president from establishing a government,” he said. ”
Speaker Shahid said that the next sitting will be held tomorrow.
The religious NGO Islamic Foundation of the Maldives has said a press release issued to several media outlets regarding the resignation of Maldivian Democratic Party (MDP) Religious Council leader, and supporting the government’s education policy, was not from the Foundation.
Sheikh Adam ‘B.A’ Naseem resigned from the party yesterday, in opposition to the government’s education policy.
“The press release was sent in the name of the Islamic Foundation supporting the Education Minister Dr Musthafa Luthfy, and opposing the leader of MDP Religious council Sheikh Naseem,’’ said the President of the Islamic Foundation Ibrahim Fauzee. “The press release is misleading and could potentially harm the reputation of the foundation.”
‘’The statement alleges that Adam Naseem resigned due to political issues and for his own political interest.’’
Fauzy said the case had been reported to police for investigation.
‘’The press release was first uploaded on our website yesterday, it came to our attention and we removed the press release, and again it was uploaded to our website,’’ said Fauzee. ‘’By then we realised our website had been hacked.’’
He said that he had no idea who was responsible for the attack on the NGO’s website.
”We also have information that the statement was distributed on the streets,” he added.
President of the Maldives Mohamed Nasheed has said that ministers will not be removed from their positions if disapproved by the opposition-majority parliament during the endorsement process.
The Dhivehi Rayyithunge Party (DRP) has argued that parliament will endorse ministers individually and is reported to have a list of members it plans to disprove. The government contents that parliament’s endorsement of ministers is “ceremonial” and should be done wholesale.
Speaking during his weekly radio address, Nasheed said that he believed the consent of the parliament should be given ministers “as a whole, rather than voting individually.”
“Members appointed to the cabinet will remain in office whether the parliament approves or disapproves a member,” said Nasheed.
If the Maldivian Democratic Party (MDP) MPs felt guilty in taking part in “an unlawful vote”, Nasheed requested them to remain silent in the parliament chamber and not take part.
Nasheed said although there were ministers who did and did not have the consent of the parliament, the DRP’s position was unrealistic.
“Although I desire the parliament’s approval for the cabinet it is not wise to keep the whole country in limbo until a condition that was not prescribed in a law is fulfilled,’’ he added.
Parliament ground to halt several weeks ago over the issue, and has been derailed on points of order.
Opposition Dhivehi Rayyithunge Party (DRP) MP Ahmed Nihan said the president’s decision would “drop the whole country into chaos.”
“He is disrespecting the constitution,’’ said Nihan, “even though he is the person who should be the most responsible for upholding the constitution.’’
Referring to the president’s position on the issue, Nihan suggested that “tomorrow a citizen might go in front of the president’s office claiming to be the president ‘because the constitution does not clearly state the details of who shall be president.'”
“If these things continue to go this way, one day the citizens may enter the president’s office and throw out the cabinet ministers themselves,” he warned. “I call on the president to respect and uphold the constitution.”
Shares in the mobile security firm Nexbis, which won a contract to install a border security system in the Maldives, dropped 6.3 percent on Friday on the back of rumours that the project had been suspended.
The ‘build, operate and transfer’ concession contract covered the design of an electronic border gate system, as well as entry and exit documents, reported CFOworld.
The project was aimed at tackling the rising numbers of foreign nationals working illegally in the country, almost all of whom arrive via Male’ International Airport.
In a statement, Nexbis said it had not been informed of any suspension of its contract with the Maldives Immigration Department and was currently seeking clarification.
The Immigration Department confirmed to Minivan News today that the project had not been suspended.
A source within the department told Minivan News that while Nexbis had not been informed that the project was suspended, “but it hasn’t started rolling yet either, and now we’re waiting for the Anti-Corruption Commission.”
The Nexbis project ran into difficulties immediately after the signing on October 18, when the Anti-Corruption Commission (ACC) alleged it had received “a serious complaint” regarding “technical details” of the bid. The government initially appeared inclined to continue rolling out the project while it was investigated.
Of the current delay, “to my knowledge the ACC can’t give the go ahead because the committee members are not in the country. We are expecting to begin before the holidays,” he said.
“So far it appears to be an internal issue within the immigration department. There is no doubt that the project would close the doors to illegal workers and the hinder profits of those inside the country processing people.”
“There is no balance between the number of expats we having the country running around looking for jobs, and jobs available. That suggests there are people we don’t need in the country who are coming in too easily,” the source said.
Exploitation of foreign workers is epidemic in the Maldives and is the second highest earner of foreign currency after the tourism industry, according to numbers provided by the former High Commissioner for Bangladesh, Dr Selina Mohsin.
Many companies in the Maldives were benefiting “and facilitating” the problem, the source told Minivan News, which was impacting those companies “who do operate legally and pay visa fees to the government.”
The Nexbis system will store biometric data and allow the tracking of workers without relying on paper documents.
Chair of the Maldivian Democratic Party (MDP)’s Religious Council, Sheikh Adam ‘B.A’ Naseem, has resigned.
Sheikh Naseem confirmed to Minivan News that today he had sent the party a letter of resignation and requested the Elections Commission (EC) record his departure from the party.
“It was due to many issues,’’ Sheikh Naseem said. ‘’The education policy of this government is one issue.’’
There were other issues, he said, that he did “not wish to discuss”.
Spokesperson for MDP Ahmed Haleem said he had not received the information yet, and Chairperson of MDP MP Mariya Didi and Parliamentary Group leader MP Moosa Manik did not respond to Minivan News at time of press.
Last night protesters gathered near the house of Minister of Education Dr Musthafa Luthfy and called on the resignation of the minister, and some other senior officials at the ministry.
Religious NGOs such as Jamiyyathul Salaf and other NGOs have opposed to the introduction of co-education and warned the ministry that there will be “many social and religious issues” that would arise if the concept was introduced.
Dr Musthafa Luthfy recently told Minivan News that the ministry’s idea was not to introduce co-education, but was rather to combine primary grades to the current secondary schools, in which case the all-female and all-male schools would have to receive girls and boys.
There are currently four secondary schools in Male’, two for males only and the other two for females.
Let me express my concern over our school system. I invite all to comment on this, be it negative or positive, I would be pleased to hear your comments.
Maldivians believe their schools must develop a Muslim generation capable of analytical and critical thinking, who become Muslims by conviction and who will strive to fulfill their role as Allah’s vicegerents on Earth.
Maldivians believe their schools must develop strong and highly-educated Muslim persons for whom Islam is a complete way of life. This can only be achieved by developing a balanced and wholesome Islamic personality whereby one’s behavior and attitude are guided through training of the spirit, intellect and emotion as well as developing a sound and healthy body.
Maldivians believe their schools must develop educated Muslims who are capable of making good judgments that enable them to lead a life of ‘happiness’ through fulfilling their roles as the servants and vicegerents of Allah SWT.
Our schools must be Islamic schools because we are a 100 percent Muslim society. An Islamic school must emphasise an integrated and balanced human development – intellectual, physical, spiritual, moral, emotional and social – based on the Islamic World View anchored on Tawhid (the unity of Allah).
This means spiritual and character education is regarded as equally important as intellectual education.
Our schools must arouse curiosity and wonder in our students, inculcate important values such as sincerity, honesty, trustworthiness, self-reliance, excellence and responsibility.
Our schools must enhance our students’ spirituality through wonders of the natural phenomena, congregational prayers, Qur’an recitation and memorisation, Qur’an studies, halaqah (study circle), and observe Islamic adhab.
If you like to know about such a school, you can visit www.iis.edu.my
This school being international, English is the medium of instruction and the school adopts the University of Cambridge International Examinations Curriculum. Being Islamic, means Arabic Language and the Qur’an are equally or even more important.
International recognition and achievements of the above school: Top 5th Cambridge Centre in Malaysia 2004, ISO certification since 2003.
In a public gathering at Hulhumale’, Dr Hassan Saeed expressed that the International Islamic University Malaysia (IIUM) was ready to setup an International Islamic School in the Maldives but the problem was they could not get land to build the school. Since the school I am talking about is also a subsidiary of IIUM, why not the Education Ministry try to obtain such assistance from the IIUM?
Wassalaamu alaikum Wrh. Wbr.
Saeed
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