Day: June 8, 2011

France helping Maldives realise development and multicultural ambitions: President

President Mohamed Nasheed has welcomed a series of events in the Maldives designed to try and forge closer cultural and development partnerships with France, claiming they are indicative of a country that is looking to become “more democratic, more liberal” and ultimately, freer.

Speaking last night during a reception at the National Art Gallery in Male’, Nasheed joined Christine Robichon, French ambassador to the Maldives, in playing up the latest developments in what he claimed was a long relationship that dated back to the 1700’s and was continuing to benefit the nation in a variety of different ways.

This week in particular has seen a number of developments relating to French culture and expertise in the Maldives, including the naval ship FS Mistral docked in the country’s waters as part of a long-term training deployment and the more scaled back establishment of the Alliance Francaise in the recently opened National Library in Male’.

The Alliance Francaise is an organisation that works to promote French cultural language programmes across the world, and is running a Film Festival of productions from French speaking nations. The group was first officially recognised in the Maldives in 2009 and estimates that the number of students now learning French at public schools has increased to 400 people from just four during the last two years.

Historically the Maldives has seen significant interest from French tourists in visiting its waters and resorts. While conceding that the strength of this interest had fallen behind other markets like China, Ambassador Robichon told guests at the gallery that the option for a growing number of students in the country to learn French may not make as much business sense locally, but still offered the “variety” of speaking a major international language for Maldivian students.

President Nasheed said that he hoped a growing number of Maldivian children and the wider population were looking to embrace different history, culture and languages through education.

“We want to welcome everyone to the country, we want to become multicultural and we are moving along these lines and with our new found friendship I am sure we will be able to achieve that,” he said.

Along with the potential cultural pursuits being offered to Maldivians, President Nasheed also announced that work was beginning on French-sponsored development assistance projects to provide sewerage and water systems to islands in the country.

Whilst thanking the French ambassador for her country’s assistance with these developments, Nasheed claimed that with its recent ascension from being designated as a UN ‘least developed country’ (LDC) to a middle income nation, the Maldives was having to learn to try and stand on its own two feet.

“Recently we have been promoted from a least developed country and we want to stand up to that. We want to be able to fend for ourselves and live within our means,” he said. “We do not want aid, we want understanding and friendship and I am sure we will find that in France.”

Likes(0)Dislikes(0)

Quarter of chamber absent as MPs approve themselves Rf20,000 in committee allowances

The parliament yesterday rejected a resolution presented by Dhivehi Rayithunge Party (DRP) MP Ahmed Mahlouf to cut Rf20,000 in committee allowances on top of MPs’ existing salaries.

The controversial allowances would see MP’s existing monthly salary and allowances rise from Rf62,500 (US$4053) to over US$5350 – higher than the per capita annual income of US$5000 for an ordinary Maldivian.

Prior to the government’s devaluation of the rufiya this would have put MP earnings on par with MPs in developed countries such as Sweden. At the official pegged rate of Rf12.85 an Maldivian MP would take home over US$7000,  outearning an MP in France.

Out of the 58 MPs present, 17 MPs voted to accept Mahlouf’s resolution and cut the committee allowance while 20 voted in favor of keeping it. 16 MPs abstained from voting. 19 were absent – almost a quarter of the chamber.

Minivan News attempted to obtain a breakdown of the vote by MP, however this section of parliament’s website was not functioning at time of press.

The resolution to cut the committee allowance was first presented to the parliament during the last term of the parliament by Maldivian Democratic Party (MDP) Chairperson and MP Mariya Didi, who reluctantly withdrew it after the party’s parliamentary group’s majority ordered her to do so.

After widespread public criticism at the decision – made at the same time as the country is attempting to reform its way out of a crippling budget deficit – many opposition and MDP MPs announced they would refuse to accept the committee allowance if it was retained.

However during  parliament’s session yesterday, MPs attacked Mahlouf for presenting the resolution to cut the allowances.

Dhivehi Qaumee Party (DQP) MP Riyaz Rasheed alleged that Mahlouf was attempting to gain more support from the public by presenting the resolution, and claimed that his intention was to portray himself as ‘’a good MP.’’

Mahlouf said he presented the resolution because due to the introduction of committee allowances, the parliament had become the subject of heavy criticism.

”By presenting the resolution to the parliament I believe my lawful duty is fulfilled, It is not for me to decide how the MPs should vote,” Mahlouf told Minivan News. ”However, it is a regrettable decision made by the parliament.”

Mahlouf said he believed that parliamentarians were already paid an adequate salary and there was no need to increase it.

”The objectives of the MDP are questionable since this was [resolution was dismissed] with their new majority of parliament,” he said. ”I do not have issues with critics, but it wasn’t my intention to gain fame and support -there are other ways I can gain fame and support.”

MDP MP Ahmed Easa said recently that he did not support the committee allowance, but he acknowledged that the MPs who did support the allowance “have reasonable points.”

”It’s true what they say – MPs have so much to do with their salary each month. People can’t even imagine how many calls a MP receives each day asking for help,” Easa explained.

“Anyone in trouble from any area will run to their MP first. MPs have to lend money to people in need of medication, even for reasons such as people coming to get money to pay the school fees of their children.”

Easa also explained that most of the MPs were not from Male’, which forced them to live in rented apartments.

”As everyone knows, a standard apartment’s rent in Male’ will be Rf10000-20000 (US$750-US$1500), and what about all the phone calls that MPs have to make, that costs an additional Rf5000 (US$375) each month, and what about their family, wife and kids?” he asked, claiming that MPs “already have to spend most of their salary on society.”

MP’s salaries compared:

Maldives
MP’s monthly salary (US $): 5350 @ Rf15.42, including allowances
GDP (US $) (2009 est): 1.683 billion
Current Account Balance (US $) (2009 est): -$370 million

Sri Lanka
MP’s monthly salary (US $):877
Plus Rs 500 for every parliamentary session
GDP (US $) (2009 est): 96.47 billion
Current Account Balance (US $) (2009 est):-$291 million

India
MP’s monthly salary (US $):5,966
GDP (US $) (2009 est):3.68 trillion
Current Account Balance (US $) (2009 est):-$26.63 billion

Singapore
MP’s monthly salary (US $):9,264
GDP (US $) (2009 est):251.2 billion
Current Account Balance (US $) (2009 est):32.63 billion

UK
MP’s monthly salary (US $):8,552
GDP (US $) (2009 est):2.123 trillion
Current Account Balance (US $) (2009 est):-$23.65 billion

US
MP’s monthly salary (US $):14,500
GDP (US $) (2009 est):14.12 trillion
Current Account Balance (US $) (2009 est):-$378.4 billion

Australia
MP’s monthly salary (US $):9,687
GDP (US $) (2009 est):321.6 billion
Current Account Balance (US $) (2009 est):8.73 billion

France
MP’s monthly salary (US $):6,651
GDP (US $) (2009 est):2.094 trillion
Current Account Balance (US $) (2009 est):-$51.86 billion

Italy
MP’s monthly salary (US $):6,936
GDP (US $) (2009 est):1.737 trillion
Current Account Balance (US $) (2009 est):-$66.2 billion

Sweden
MP’s monthly salary (US $):7,298
GDP (US $) (2009 est):335.1 billion
Current Account Balance (US $) (2009 est):30.23 billion

Likes(0)Dislikes(0)

Business should not feel threatened by economic liberalisation: MACI President

Maldivian businesses should not feel threatened by a shift towards a liberalised economy despite the significant changes to tax and regulation, the chair of an economic forum between industry and cabinet heads held this week in Male’ has said.

Mohamed Ali Janah, President of the Maldives Association of Construction Industry (MACI) and a business owner himself, claimed that government-proposed economic reforms were no different changes that had already occurred across the western world and parts of South Asia.

While welcoming liberalisation in general, the MACI president said he believed that industry would still likely require more time to adapt to the transitions such as a minimum wage and greater taxation on goods and services.

“We are in something of a transition period right now, but what we want businessmen to understand is that they should not feel threatened [by these changes],” he said. “We are being pushed towards a more liberal economic system where we will need more accountability and transparency.”

Janah claimed the proposed changes reflected a potential move away from the style of family-dominated business dealings that he suggested may in some cases have been less likely to aim for transparency and detailed accounting.

“These things will be exposed, so there may be some reluctance,” he said.

Janah’s comments were made following the second in an ongoing series of meetings held between various local associations like the Maldives Association of Tourism Industries (MATI), the Maldives Association of Travel Agents and Tour Operators (MATATO) and the Liveaboard Association of Maldives (LAM) and various cabinet ministers.

This week’s forum, which was chaired by the MACI president, was the second of its kind to be held between business and cabinet members this year over government economic reform strategies. Finance Minister Ahmed Inaz, Tourism Minister Dr Mariyam Zulfa and the Governor of the Maldives Monetary Authority (MMA) Fazeel Najeeb were all in attendance, with organisers claiming that workers’ associations and media representatives were also invited.

Business roundtable

While the initial meeting was focused prominently on issues like government aims to introduce a minimum wage, Janah said that in chairing this week’s meeting, he had called for the formation of a business roundtable that would represent industry and commerce across the country in directly lobbying the government over potential concerns.

The MACI president said that while this week’s business meetings still had political components during their discussions, he hoped  to give attendees a forum to discuss various industry issues more directly, beyond the partisan thinking often linked to decision making in the country.

“We have more than enough political forums, but not enough is being done to allow businesses to talk on a purely technical level,” he said. “I propose that we start a business roundtable. Let’s get all the industries on board and look at various issues including climate change.”

With so many changes expected to be made to business practice in the Maldives, Janah said that he hoped a round-table would be better able to lobby for “sustainable” implementation of reforms in areas such as pay and taxes.

In the context of the government’s reform agenda, other association heads present at the forum suggested that a gradual implementation of a general Goods and Services Tax (GST) and a minimum wage over a number of years were needed by the industry as an example of “sustainable developments”, particularly for small and medium industries.

The collaborations between government and industry targeted through the forums were welcomed by State Minister of Finance Ahmed Assad, who told Minivan News that the meetings were focused on trying to outline a development path for business to the benefit of the entire country as well as the economy.

“As the economy grows, so also should government finances so that the state can meet the demands of the public. Our main aim is for business to thrive to support government finance at sustainable levels,” he said.

Assad claimed that at present, the government’s sole revenue stream from business outside of the country’s tourist industry – recently estimated to amount potentially to around US$3 billion – was in the form of customs duty.

However, with the proposed introduction of additional taxes like GST on local businesses, the state finance minister added that this would create growing interest in the conduct of how government was spending income.

“Once we have a state run on contributions from business, I am sure there will be a lot more interest where this funding goes,” he said.

Robin Hoods and Bolsheviks

Addressing the notion of the term “sustainable” in regards to industry developments, Assad rejected accusations that a combined lobbying group would grant further power to business heads at the expense of individual workers and their rights.

From his own perspective, the state minister said he believed local businesses were generally wary of creating “Robin Hoods and Bolsheviks” by discriminating and alienating their work forces and appreciated that negative worker relations were not in their interest.

“Smart people will always take care of their own workers,” he said. “Maldivian business people are intelligent and wish to keep a good balance in the workplace.”

A stable and confident workforce was also highlighted by Assad as being hugely important in attracting interest from foreign investment to the Maldives.

The tourism side

Among industry groups present at this week’s economic minister was the Maldives Association of Travel Agents and Tour Operators (MATATO), which raised concerns in particular over government commitments to the South Asian Association for Regional Cooperation (SAARC) potentially removing restrictions on foreign businesses.

Mohamed Maleeh Jamal, Secretary General for MATATO, said the group held some concerns about SAARC initiatives to open up the Maldives tourism markets and allowing foreign travel agents to operate in the country.

While claiming to not be against market liberalisation, Maleeh said that local travel agents were facing increased competition from booking engines and unregistered travel agencies operating illegally in the country.

Amidst growing competitiveness, the MATATO secretary general said that other member nations like Sri Lanka had recently dropped providing free visas on arrival to the country for any nation other than Singapore or the Maldives that was claimed to contravene SAARC rulings on freedom of movement.

In addressing matters specific to the Maldives, Maleeh claimed that MATATO had agreed during the previous forum held two weeks ago that it would support the introduction of the minimum wage, although the group said it had required government action on reducing illegal labour in the country.

“We need more research on the impacts of this and why local people are not seeking out available work,” he said.

Maleeh claimed that even without the possible formation of a formal business round-table to debate industry-wide policy, the association welcomed continued collaboration between various business heads and government.

However, one workers group in the country linked to tourism has pressed the government on implementing more immediate policy changes in relation to employment regulation.

Just last month, the Tourism Employees Association of the Maldives (TEAM) actively urged the government to implement a minimum wage needed to address what it sees as a growing gap between the rich and poor.

“TEAM believes that the most important thing to do in order to change the current situation of all persons working in the tourism industry is to implement a minimum wage,’’ said the organisation at the time.

“A minimum wage is also important to avoid the potential bankruptcy of small and medium businesses and to eliminate the differentiation between the rich and poor.’’

TEAM urged the government to conduct a fair survey and to determine an adequate minimum wages, “instead of only listening to few influential big businessmen.’’

The association claimed the minimum wage for those working in the tourism sector should be at least Rf 5000 (US$325) per month.

Likes(0)Dislikes(0)

Dhaka Embassy to issue Maldives work visas pre-arrival in trafficking reduction effort

Bangladeshi nationals will be issued work visas by the Maldives High Commission in the national capital of Dhaka, in an attempt to address booming numbers of workers arriving in the country.

Immigration Controller Abdulla Shahid told Minivan News that Bangladeshi workers would require additional documents verified and issued in Bangladesh before their work visas and ID cards could be issued in the Maldives.

Following the cabinet decision to implement the changes on Tuesday (June 7), Minivan News understands that the government will outline the particulars of the new system during a press conference early next week.

Newspaper Haveeru reported that the decision would also include a programme to identify and deport illegal workers currently in the country.

Shahid has previously estimated that the number of expatriate workers in the Maldives would reach 100,000 in June – a third of the population. The government has no figures, but estimates that up to half that number may be illegal.

The high percentage of foreign workers relative to the Maldives’ foreign currency income has forced the government to confront the country’s heavy reliance on expatriate labour as part of wider economic reforms.

A recent report by economics lecturer and Assistant Manger of the Maldives Monetary Authority (MMA)’s Monetary policy and Research Division, Ibrahim Ameer, estimated that each expatriate worker was remitting US$100 per month to their families back home.

Ameer estimated that this was draining the country of US$8 million in foreign currency every month – in comparison, a greater amount than the country was earning from the Tourism GST.

Stopping traffic

Former Bangladeshi High Commissioner Professor Selina Mohsin told Minivan News last year that 40 Bangladeshi nationals were arriving at reception daily, “having come to the Maldives and found they have nothing to do.”

In early 2010, as an experiment, Professor Mohsin stopped attesting work permit requests and observed that this hardly dented arrivals.

Under Maldivian law, foreign workers arriving in the Maldives must have a work permit issued by the Immigration Department. This is obtained through an employer or agent, who must first request a foreign worker quota from the Ministry of Trade and Human Resources.

“The Maldivian [side] gets into connection with the Bangladeshi brokers, gets a business permit from the Ministry of Human Resources, says they want to recruit and gets a quota for more workers than they require – if they require any at all – and then ask a Bangladeshi counterpart to bring in the workers,” Professor Mohsin said in an earlier interview with Minivan News, explaining that brokers would then charge individual workers between up to US$4000 to arrange their employment in the Maldives.

In many cases the family home and land was sold or mortgaged to raise this fee, split two-thirds in favour of the Maldivian broker.

One application that arrived on her desk – approved by the Ministry of Human Resources – was a request for 1800 workers for an unspecified construction project.

“Those people would have come [to Male’] had I not checked. Had I not done it, 1800 people would have sold their homes and become delinquent in the Maldives. This did not bother a Maldivian broker. Hell is not good enough for the people who are doing this,” Professor Mohsin told Minivan News at the time.

One broker investigated last year by Bangladeshi authorities was thought to be involved in a labour trafficking operation to the Maldives worth upwards of US$3.6 million.

Shahid acknowledged that the forging of documents in both the Immigration Department and the Human Resources Ministry was the subject of an ongoing police investigation.

The new requirements would not impact the Maldives’ policy of issuing tourist visas on arrival, he said, as this was already policed by requiring visitors to have a pre-existing hotel reservation.

Meanwhile, immigration authorities today arrested three people for attempting to leave the country on fake passports, including a Malaysian man, a Chinese woman and her 18 year old son.

Haveeru reported that the Malayisan man was believed to have arranged false Taiwanese passports for the other two passengers that were arrested.

Police said the matter was a suspected case of human trafficking.

Likes(3)Dislikes(0)

Adhaalath Party threatens protests if Israeli flights allowed to operate in the Maldives

The Adhaalath Party has issued a statement threatening protests if the government does not terminate all agreements made between Israel and the Maldives, in particular if it allows Israel flights were to operating in the country.

‘’It is very concerning that the government is strengthening relations with such a cruel state,’’ the Adhaalath Party said in the statement. ‘’The government intends to allow Israel national carrier [El Al] to commence operating in the Maldives by December this year.’’

Adhaalath claimed that “more than 12,000 innocent Muslims are held hostage in Israel.”

In April this year the Adhaalath Party said the party had decided to terminate the coalition agreement with the ruling Maldiivan Democratic Parrty (MDP) should the government permit an Israeli airline to operate in the Maldives.

However, today Transport and Communications Minister Adil Saleem confirmed to local media that Israel flights would commence operating in the Maldives on December 13.

Adil told the media that 433 Israeli tourists visited the Maldives in 2004, 758 in 2005, 569 in 2006, 838 in 2007, 1307 in 2008, 1588 in 2009 and 1380 in 2010.

He also said that more than 500 Maldivians had so far visited Israel this year, noting that many Maldivian had visited the country to see Masjid-Al-Aqsa.

Currently Maldivians visiting Israel had to spend a lot of money on air tickets, he said.

Likes(0)Dislikes(0)

Maldivian Arab Spring focused on replacing democratically-elected president with aging despot: Take Part

As political unrest swept through the Muslim nations of North Africa, even the remote island nation of the Maldives was caught up in its own Arab Spring in the form of political protest and street clashes, writes author and documentary filmmaker Jon Bowermaster for Take Part.

“One major difference: efforts in the Maldives were focused on pushing out a young, democratically elected president and replacing him with an aging despot.

“As many as 5,000 protestors have been shouting not about green issues, but about homegrown concerns, including a sour economy and increases in crime and inflation. They have also complained about Nasheed’s alleged ‘westernization’ of the traditional Islamic culture. One report has his popularity rating at just 18 percent. The military has dispersed youthful crowds with high-pressure hoses and batons.

“Waiting in the wings? None other than Maumoon Abdul Gayoom, 74, whose 30-year dictatorship ended in 2008 with Nasheed’s election. Nasheed has no love lost for the former president, who still lives in the Maldives. A former journalist, activist and political prisoner, Nasheed was tortured while in prison during Gayoom’s presidency.”

Full story

Likes(0)Dislikes(0)

MJA concerned over recent attacks on journalists

The Maldives Journalists Association (MJA) has expressed concern over recent attack on two journalists, and has alleged that such attacks are increasing.

The association said it had reports that a journalist from newspaper ‘Dhiislam’ was attacked when he attended a show held at Thajudheen School.

‘’He was physically attacked and he was forced to delete the photos he took,’’ the MJA said in a press release. ‘’It is unacceptable and we condemn it.’’

MJA said Youth TV’s assistant manager Ibrahim Muaz was dismissed from his job, which it said was due to “a political issue.”

It also called everyone to provide opportunity for the conduct of independent journalism in the Maldives.

Muaz was dismissed after he allegedly leaked a picture of Maldivian Democratic Party (MDP) parliamentary group’s leader and MP ‘Reeko’ Moosa Manik sitting inside the Maldives National Broadcasting Corporation (MNBC)’s library going through the archives of videos of former President Maumoon Abdul Gayoom.

The picture was leaked to local news outlet ‘Sun online’ and a source told the paper that Moosa visits the MNBC library very often and takes speeches and video clips of Gayoom and senior officials of the former government to the president’s office.

Sun online that time reported that in the picture Moosa was viewing the interview given by former president following the death of Evan Naseem in 2003, who died inside Maafushi Jail.

However, MNBC told the media that the dismissal of Muaz was not related to the leaked pictures of Moosa.

Likes(0)Dislikes(0)