DRP requests six month delay for general GST

Main opposition Dhivehi Rayyithunge Party (DRP) Leader Ahmed Thasmeen Ali has sent a letter to the President requesting a six-month delay to the introduction of a 3.5 percent Goods and Services Tax (GST) approved by parliament last month.

In his letter, the minority leader noted that according to parliamentary rules of procedure, only the government could submit tax legislation. He urged the government to delay the implementation of the GST to allow businesses enough time to prepare. The General GST is due to come into force on October 2.

Thasmeen argued that a number of citizens could be subject to legal penalties specified in the legislation if they were not provided sufficient information about registering and paying the new direct tax.

In a booklet handed out to media last month titled “DRP’s response to the government’s economic nuisance package,” the party noted that the General GST would affect small businesses such as cornershops, cafes and teashops.

The businesses would “need a lot of preparation” to maintain accounts, install “modern computer systems and hire accountants” as well as provide customer’s statements showing the GST percentage.

Morever, taxing “total value of business transactions” would not be possible with GST at zero percent for some items.

Considering the potential “administrative confusion” and the country’s heavy reliance on imports, the DRP argued that levying a customs duty at the entry point to the country was more effective.

President’s Press Secretary Mohamed Zuhair told Minivan News today that the government viewed the DRP as the main opposition party and “gives a high priority to their concerns.”

“But the President has been advised by financial experts that all taxes should be part of one network and it is not sensible to omit one tax for the whole system to work,” he said.

Zuhair noted that “people wanted to delay the introduction of political parties” in the past, adding that “we have lost 30 years without a tax system.”

In May, the International Monetary Fund (IMF) approved a three-year support programme after the government agreed to “a package of policy reforms that will help stabilise and strengthen the Maldives’ economy.”

Under the IMF programme, the government committed to:

  • Raise import duties on pork, tobacco, alcohol and plastic products by August 2011 (requires Majlis approval);
  • Introduce a general goods and services tax (GST) of 5 percent applicable to all sectors other than tourism, electricity, health and water (requires Majlis approval);
  • Raise the Tourism Goods and Services Tax (TGST) from 3.5 percent to 6 percent from January 2012, and to 10 percent in January 2013 (requires Majlis approval);
  • Pass an income tax bill in the Majlis by no later than January 2012;
  • Ensure existing bed tax of US$8 dollars a night remains until end of 2013;
  • Reduce import duties on certain products from January 2011;
  • Freeze public sector wages and allowances until end of 2012;
  • Lower capital spending by 5 percent
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HarperCollins confirms Maldives not being erased from Times Atlas as global warming statement

The Maldivian government has written to the editor of the UK’s Telegraph newspaper seeking “clarification and apology” for a satirical article claiming that the Maldives was to be erased from the Times Comprehensive Atlas of the World as a statement on global warming.

The article, by climate skeptic James Deringpole, cited a fictitious spokesperson from Times Atlas as implying that the Maldives’ position on climate change was “a publicity stunt, cooked up by green activist Mark Lynas, to blackmail the international community into giving the Maldives more aid money while simultaneously trying to lure green Trustafarians to come and spend £1500 a night in houses on stilts with gold-plated organic recyclable eco-toilets made of rare earth minerals from China.”

In a letter to the Telegraph’s Editor, Tony Gallagher, Acting High Commissioner Ahmed Shiian wrote that “to suggest, even in satire, that the plight of our country in the face of sea-level rise is simply some kind of con-trick to raise guilt money from the international community is despicable and hurtful to all of us, whose country is indeed one of the most vulnerable on Earth to global warming.”

Shiian added that Delingpole’s “leaden attempts at humour” had  already had “unfortunate political consequences in the Maldives”, after his invented quotes from a Times Atlas spokesperson “were reported as fact in the Maldives media, and the opposition party of the former dictatorship has used this to accuse the President of undermining the country and national pride.”

Minivan News yesterday contacted the publisher of the Times Atlas, HarperCollins, which confirmed that the story was bogus.

“Of course we have no plans to erase the Maldives, Tuvalu or major parts of Bangladesh from the next edition,” a spokesperson told Minivan News, also confirming that the spokesperson cited by Deringpole was not a HarperCollins employee.

“Like the rest of the piece, he is a fiction,” she said.

Major media outlets in the Maldives, including Haveeru, Miadhu and Sun Online, continued to carry the story this morning, although Haveeru had amended its version to reference “unconfirmed reports”.

The stories generated strong sentiment among the many who commented on it, with many blaming President Nasheed for the underwater cabinet meeting which had led to the Maldives “being wiped off the map”.

A senior source in the President’s Office told Minivan News that the story had stirred up strong sentiments and now the perception risked running ahead of the reality.

“It is hugely irresponsible journalism not to acknowledge when you’ve made a mistake. Standard procedure all over the world is to do a retraction,” the source said.

Editor of Sun Online and President of the Maldives Journalists Association (MJA), Ahmed Hiriga Zahir, told Minivan News that he had edited Sun’s story and was under the impression that it was genuine.

“I didn’t thoroughly check the original,” he acknowledged, “but I did read the Maldivian media. Why would the [UK] media report it [incorrectly]? I think the original media should correct it. If the Maldivian media reported it and they know it is not the truth, they should also correct it,” he added.

Press Secretary for the President, Mohamed Zuhair, said the government was approaching the Broadcasting Commission and the Maldives Media Council asking it “to insist the mainstream media be responsible, and not to take silly blogs as mainstream news.”

Zuhair said he suspected the media had “deliberately misinterpreted” the story to mislead the public and generate anti-government sentiment.

“Many of these outlets were the government organs of yesteryear, and many of their journalists have not reconciled themselves with the days when they were calling the current President a vagabond and a terrorist,” Zuhair said.

“Presenting this story as serious news is misleading, and people have been misled – they are calling up the morning radio programs concerned that the Maldives has been taken off the map. The media should be responsible and publish a retraction, but I doubt they will do it – you can wake up a person who is asleep, but you can’t wake up a person who is pretending to be asleep.”

MP for former President Maumoon Abdul Gayoom’s new political party, the Progressive Party of the Maldives (PPM) Ahmed Mahlouf, yesterday sent out a mass text message informing people of the supposed decision to erase the Maldives from the map, blaming President Mohamed Nasheed for holding the underwater cabinet meeting and ”erasing the country, erasing religion and erasing the people.”

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ACC paid members’ phone bills illegally, finds audit report

Mobile phone bills of Anti-Corruption Commission (ACC) members were paid out of the commission’s budget illegally, according to the independent institution’s audit report for 2010 made public yesterday.

The audit report published on the website of the Auditor General’s Office found that the bills of mobile phones given for office use were paid by the commission from April 2010 onwards if the amount did not exceed Rf 650 per month.

“Since according to article 16(a) of the Anti-Corruption Act salaries and allowances for commission members shall be determined by the People’s Majlis (parliament), we note that following the parliament’s Public Accounts Committee’s (PAC) response on March 30, 2011 to the Anti-Corruption Commission’s letter on March 16, 2011, [the commission] stopped paying the phone bills of members,” reads the audit report.

“The [PAC] letter told the commission to cease paying phone bills until the Public Accounts Committee reviews phone allowances of institutions whose salaries are determined by the People’s Majlis and informs [the commission of a decision].”

In addition, the audit report noted that unused funds left over after ACC trips were not properly recorded under the applicable budget code.

Moreover, reports of such trips were not filed within three working days of the end of the trip as stipulated by clause 5.13 of the state financial regulations.

An ACC spokesperson had not responded to Minivan News at time of press. However ACC Deputy Chair Muaviz Rasheed told newspaper Haveeru today that the mobile phones were used for office work and the ACC received authorisation to pay the phone bills from the Finance Ministry.

While a monthly limit of Rf 650 was set, Muaviz said that the amounts paid were below the limit for most months.

The audit report meanwhile noted that the ACC’s financial statement was prepared in accordance with international public sector accounting standards and “shows the commission’s financial status truthfully and accurately.”

Out of the Rf16.5 million (US$1 million) annual budget released to the ACC in 2010, the report noted that Rf12.4 million (US$800,000) was spent on salaries and allowances for employees. Over Rf778,000 (US$50,400) was meanwhile spent on training staff.

The ACC audit report for 2010 is the first report released by the Audit Office since 2009 following former Auditor General Ibrahim Naeem’s contentious dismissal by parliament in March 2010 over corruption allegations. After rejecting the President’s first nominee, Naeem’s replacement – current Auditor General Ibrahim Niyaz – was eventually approved in May this year.

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Finance Ministry appeals for cooperation with cost-cutting measures

The Finance Ministry has appealed for cooperation from all state institutions to the government’s cost-cutting measures by not hiring additional staff, creating new posts or replacing vacancies.

A budget circular issued by the ministry on Sunday notes that expenditure on state employees accounts for 35 percent of government spending in the 2011 budget while 49 percent of government expenditure so far this year (excluding foreign loans and free aid) was on salaries and allowances.

“Lately a number of institutions have been requesting permission from the ministry to add new posts in 2011 and hire employees for vacant posts,” reads the circular signed by Finance Minister Ahmed Inaz. “However since the ministry believes that, considering the state of the budget, there is no space to add employees or fill vacant posts this year, the ministry urges cooperation for controlling the number of employees.”

As part of the government’s belt-tightening measures to curb expenditure, the circular notes, the Finance Ministry requires offices and state institutions to seek authorisation in writing for capital expenditure and overseas trips as well as repair and maintenance work.

The ministry had previously informed all state institutions to not create new posts or fill vacancies, the circular noted.

“In addition, posts of employees who leave their government jobs under the ministry’s “voluntary redundancy programme” has been abolished,” it added. “The ministry believes that as a result of this programme expenditure on employees out of the state budget will be controlled to an extent.”

The Finance Ministry recently revealed that the country’s fiscal deficit in 2011 reached Rf1.3 billion (US$84 million) in the first week of September.

The circular meanwhile noted that the government has pledged not to raise nominal wages until the end of 2012 under the staff-level agreement with the International Monetary Fund (IMF).

In May, the IMF gave preliminary approval for a three year economic programme in the Maldives, after the government agreed to “a package of policy reforms that will help stabilise and strengthen the Maldives’ economy.”

“In sum, this package of proposed policy reforms will help stabilize and strengthen Maldives’s economy, and the mission thus reached a staff-level agreement with the Maldivian authorities on a three-year economic program that could be supported by a new IMF lending arrangement,” reads an IMF press statement in May. “The agreement reached, however, remains subject to review by IMF management and approval of the IMF’s Executive Board, which could consider a program request from Maldives in July. It is anticipated that an approved program would encourage key donors to contribute additional financial support.”

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Satirical news blog dupes Maldives media

Maldivian media outlets this morning published as fact a satirical Telegraph news blog citing “unconfirmed rumours” that the 14th edition of the Times Comprehensive Atlas of the World will omit the Maldives, Tuvalu, “and major parts of Bangladesh” as a statement on global warming.

The blog post, written by climate change skeptic James Delingpole who describes himself as “a writer, journalist and broadcaster who is right about everything”, features comments by a “Times Atlas spokesman” David Rose.

In a UK press scandal this year, ‘David Rose’ was found to be a psuedonym used by left-wing Independent journalist and climate change writer Johaan Hari to edit his own wikipedia entry, advocate his own position and attack his critics.

Rose, who in Delingpole’s article holds “a doctorate in Cambridge in Climate Change and Sinking Islands Studies so I know what I’m talking about, and  if you don’t believe me, ask my friend Johaan Hari who taught me everything I know”, acknowledges that it “may not be strictly geographically accurate to say the Maldives and Tuvalu will definitely have disappeared in about ten years time when our next edition appears.”

“But did you see that picture of the Maldives cabinet holding a meeting underwater? If the Maldives government says the Maldives are drowning, they must be drowning. And frankly I think it’s despicable, all those deniers who are saying it was just a publicity stunt, cooked up by green activist Mark Lynas, to blackmail the international community into giving the Maldives more aid money while simultaneously trying to lure green Trustafarians to come and spend £1500 a night in houses on stilts with gold-plated organic recyclable eco-toilets made of rare earth minerals from China. Why would a government lie about something as serious as climate change?”

Rose goes on to state that “I’m pleased to say that this is a view of the world shared by my colleagues at Times Comprehensive Atlas Of The World. They understand that maps based on accurately recorded geographical features belong in the Victorian age of child chimney sweeps. What we need now is maps that change the world, transforming into something which it isn’t actually yet but might be one day if we don’t act NOW!”

A spokesperson for HarperCollins, publisher of the Times Atlas, told Minivan News that “the piece in today’s Daily Telegraph is a satirical story. Of course we have no plans to erase the Maldives, Tuvalu or major parts of Bangladesh from the next edition of The Times Comprehensive Atlas of the World. There is no one at HarperCollins called David Rose. Like the rest of the piece, he is a fiction.”

Meanwhile, Ahmed Mahlouf, MP for former President Maumoon Abdul Gayoom’s new political party the Progressive Party of the Maldives (PPM), today sent out a mass text message informing people of the supposed decision to erase the Maldives from the map, blaming President Mohamed Nasheed for holding the underwater cabinet meeting and “erasing the country, erasing religion and erasing the people.”

Delingpole’s post was written in response to a recent press release by HarperCollins, publisher of the The Times Comprehensive Atlas of the World, stating that global warming was “turning Greenland ‘green’”, and that cartographers had altered the maps to depict gradual melting of the icecaps.

In a statement yesterday, HarperCollins said the release did not reflect the content of the Atlas, and apologised for the release “which unfortunately has been misleading with regard to the Greenland statistics.”

“We came to these statistics by comparing the extent of the ice cap between the 10th and 13th editions (1999 vs 2011) of the atlas. The conclusion that was drawn from this, that 15 percent of Greenland’s once permanent ice cover has had to be erased, was highlighted in the press release not in the Atlas itself. This was done without consulting the scientific community and was incorrect. We apologise for this and will seek the advice of scientists on any future public statements. We stand by the accuracy of the maps in this and all other editions of The Times Atlas.”

Delingpole attended Christ Church college at Oxford, the same institution which earlier this week signed a memorandum of understanding (MoU) with the Maldives High Commission to the UK, to provide a postgraduate scholarship in environmental science to a Maldivian student.

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Supreme Court upholds High Court’s ruling to allow civil servants to take part in political activities.

The Supreme Court has today ruled that article 53 of the Civil Service Act is inconsistent with article 30[a] of the constitution, and has supported the High Court ruling invalidating the article 53 of the Civil Service Act.

The case was appealed by the Attorney General at the Supreme Court, after the High Court determined that the article 53 of the Civil Service Act was inconsistent with article 30[a] of the constitution.

Article 53 of the Civil Service Act states that Civil Servants cannot participate in any political activities while article 30[a] of the constitution states that it is a right of every citizen to take part in political activities.

The Supreme Court’s verdict read that section 77[a] to [d] of the Civil Service Act that defines political activities, which has mentioned every single activity that would come to a person’s mind when they think of political activities, and that article 77[a] to [d] was defined as definitely inconsistent with the constitution’s article 30[a].

Local media reported that the case was lodged with  the High Court by a former civil servant who worked at the Youth Ministry named Mohamed Haanim, who was dismissed from his position after he took part in an opposition Dhivehi Rayyithunge Party (DRP) rally.

The case was logged to the Supreme Court on March 2009 and the case reached to a conclusion yesterday.

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Citizens honor Evan Naseem in rally against torture

Maldivians honored the eighth anniversary of Evan Naseem’s death and the subsequent shootings at Maafushi Jail in a rally at the tsunami memorial today.

The events of 20 September 2003 are considered critical moments in Maldivian democracy that led to the ousting of former president Maumoon Abdul Gayoom.

About 100 people attended the rally, which featured speeches and posters of torture victims. The event will continue tomorrow at 4:00pm.

Maldivian Democratic Party (MDP) founding member Mohamed ‘Bounty’ Nazim described his experience of Naseem’s death, and the protests that followed in Male’.

“We went to the cemetery and saw Naseem’s body. I cannot tell you how it felt. I felt very, very sad, the support I had for [former President] Maumoon was gone when I saw Naseem. I called my friends to come join us in protest against Maumoon,” he said.

On September 20, 2003, prisoners at Maafushi jail allegedly rioted against prison personnel, demanding an explanation for fellow inmate Evan Naseem’s death. Nineteen people were injured and three inmates killed.

Naseem “died due to grievous hurt caused to him by some personnel of Maafushi Jail Security System,” a report filed by the former administration claimed.

Citizens in Male’ rioted when Naseem’s mother Maryam allowed people to see her son’s body, which bore signs of torture.

Nazim said over 5000 people participated in the riot, and that police threw rocks and used arms against them.

Nazim informed Minivan News that today’s protest was “not an MDP event”. He said in two days he and 11 others would register the NGO “Activist Association of Maldives”, which will raise awareness about the penal system and strive to “stop the punishment of innocent people there,” Nazim said.

“We worry about Nasheed,” he said, referring to the Maldives’ current president. “Why not bring Maumoon to justice? There is proof that he ordered the shooting at Maafushi. But Maumoon is still powerful in the judiciary. I’m hoping that one day, we will have justice.”

Fliers are handed out that portray injuries done to men in prison during Gayoom's presidency

Nazim said that protests will be held every year on September 20. Previous anti-torture protests were suppressed by the police, but “Nasheed gave us the freedom to speak, and today we are here peacefully,” said Nazim.

Over 3,000 messages were sent out and MPs were invited to the event. MP Reeko Moosa, who was claims to be a victim of torture, told the crowd that Gayoom “would not be allowed to hold power again”.

“We are happy now because there is no news that torture is happening under this government,” Moosa claimed, speaking to Minivan News. “But we are still watching things very carefully. Gayoom is trying to take power again, but it will not happen. We are against torture happening in the Maldives ever again.”

Moosa did say that the current administration “could do more.”

“The government needs more investigation, and it needs to bring the torturers to court,” he said.

Other speakers spoke out against Gayoom and his newly-formed Progressive Party of the Maldives (PPM). One man said the public should go to Gayoom’s house and “bring him out to face the people’s justice.”

Several torture victims who spoke to Minivan News expressed strong resentment for Gayoom. One Abdulla Naseeru said his “blood is boiling” and he wanted “to reach out and beat Gayoom.”

Naseeru reported being handcuffed and beaten in the same cell as President Nasheed for six months, and said he had spent a total of two years in prison.

“I wrote a letter to Gayoom after about my beatings, and his response was that the army and prison guards cannot be investigated,” he said. Naseeru said he still hears reports of prison beatings, and fears current investigations will be stopped by members of the former administration who still hold office.

Although the rally took place during school hours, a few interested teens joined the crowd. One said he was interested in politics, while his friend said he was curious to see what was happening. Both boys said their peers are aware of the issue.

Among those who attended the rally was a former army private who said he was willing to come out against Gayoom.

Evan’s mother Maryam Naseem was also in attendance. “It is very hard to be here,” she said. But she was pleased that Male was paying attention to the issue.

A government investigation into the events at Maafushi jail was launched by former President Gayoom, but the officers who were convicted were released before fulfilling their jail sentences. In June 2011, the case was re-opened and three former prison guards were sent back to jail.

Then-captain Adam Mohamed, who was allegedly responsible for Maafushi at the time, remains free.

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JSC appeals Civil Court injunction to halt appointment process

The Judicial Service Commission (JSC) has appealed a Civil Court injunction issued on September 8 to halt the appointment of judges to superior courts pending a ruling on the legitimacy of the process.

A group of lawyers had filed a case contesting the legality of the JSC’s evaluation criteria – contained in a regulation drafted by the commission – on the grounds that it conflicted with both the constitution and the Judges Act. The lawyers requested the Civil Court to abolish the regulations and declare the commission’s shortlist void.

The final interviews of 17 shortlisted candidates were due to place on September 10, two days before the injunction or staying order was delivered.

The lawyers also claimed that two shortlisted candidates had close ties – as a spouse and a business partner – with two members of the commission, suggesting a clear conflict of interest as neither had recused themselves from voting in the JSC panel.

At today’s first hearing of the appeal at the High Court, JSC Lawyer Mohamed Waheed Ibrahim argued that according to article 143(a) of the constitution the Civil Court did not have jurisdiction to rule on the constitutional validity of “any statute or part thereof enacted by the People’s Majlis.”

In addition, Waheed contended the Civil Court order violated articles 144(a) and 145(c) of the constitution as well as articles, 20(a) and (b), 36 and 37 of the Judicature Act.

Waheed further argued that the Supreme Court had set a judicial precedent by transferring a Civil Court case regarding the appointment of five judges to the High Court bench.

In January this year, Criminal Court Judge Abdul Bari Yoosuf at the Civil Court claiming to show procedural and legal issues in the JSC vetting process. Bari’s case was later entered into by Family Court Chief Judge Hassan Saeed as a third party.

On January 20 – three days before the judges were due to be sworn in – the Civil Court issued a temporary staying order halting the appointments pending a final ruling.

The Supreme Court however transferred the case from the lower court a day later and conducted two hearings before dismissing it without issuing a verdict.

Waheed also claimed that the JSC was not offered enough time to prepare a defence as the Civil Court issued its injunction or temporary staying order on the night the case was filed.

The JSC requested the High Court to overrule the Civil Court order and declare that the trial court did not have the jurisdiction to rule on constitutional matters.

In response, Husnu Suood, former Attorney General representing the group of lawyers, contended that the case filed at Civil Court was not exclusively about the constitutional validity of the JSC regulations.

Suood explained that the issue was “problems in ranking certificates” in the JSC evaluation criteria, which the lawyers argued unfairly favoured graduates of the Islamic College of Maldives (Kulliya). The case also alleged conflict of interest on the part of two members, Suood added.

Moreover, Suood continued, a November 2008 Supreme Court ruling established a precedent that it did not have “exclusive jurisdiction on constitutional matters”, referring to a case filed by eight MPs appointed by former President Maumoon Abdul Gayoom contesting their dismissal by President Mohamed Nasheed.

The Supreme Court had ruled that the case should have been filed at a lower court.

On the issue of the High Court appointments, Suood noted that there was no judicial precedent set as the Supreme Court had not issued a verdict before dismissing the case on a technicality.

Disputing the JSC’s claim that the Civil Court had informed the commission of its hearing after office hours, Suood noted that the JSC had issued press statements between 4:00pm and 8:00pm on September 8.

In addition, the lawyers now claim that based on statements by the JSC at the Civil Court hearing, the regulations were not valid as they were not published in the government gazette.

The High Court panel consisting of three judges adjourned today’s hearing after informing the lawyers that a second hearing would be held if there were further matters to clarify.

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“Make use of historic moment”, Adhaalath Party urges President Nasheed

Adhaalalth Party President Sheikh Imran Abdulla has joined opposition Dhivehi Rayyithunge Party (DRP) leader Ahmed Thasmeen Ali in sending a letter to President Mohamed Nasheed asking him to push for an independent Palestinian state at the UN Human Rights Council.

In the letter Sheikh Imran tells the President to assist the Muslim community in their efforts to make Palestine an independent state and a full member of the UN, and to make good use of the historic moment that came in the time of President Nasheed and vote in favor of Palestine.

Sheikh Imran urged the President to do this for the rights of the citizens of Palestine who have “lived in grief for 63 years, who have been pushed away from their own land and have suffered so muchh catastrophe.’’

Meanwhile, the ruling Maldivian Democratic Party (MDP) has also issued a statement saying that the party supports Palestine becoming an independent state, and thanked the government and foreign ministry for the work they are contributing to resolve the issue.

“The MDP would like to note, with gratitude, that one of the key objective of the Maldives foreign policy was to assist Palestinian citizens and to further the recognition of Palestine as an independent state,’’ the statement issued by the MDP Secretariat said.

The party said that the government had spoken in favor of Palestine at the UN Human Rights Council and that the party was proud of it.

Meanwhile, the Foreign Ministry has stated that the Maldives strongly supports UN recognition of Palestinian statehood, with Naseem advocating the position before the UN Human Rights Council following the announcement by Palestinian Authority President Mahmoud Abbas that he will apply to the UN Security Council for full UN membership.

“Let us be clear, the Palestinian people have, like everyone else, the right to self-determination – the right to a state of their own. They have waited long enough for that most basic of rights. When the Palestinians present their case to the UN, the Maldives will stand shoulder-to-shoulder with them, and we call on all others to do likewise,’’ Naseem told the UN Human Rights Council.

Naseem has said the Maldives does not believe that UN recognition of Palestinian statehood will narrow the chances of a negotiated peace.

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