Police have seized 48 bottles and four packets of alcohol from a dhoni (traditional boat) docked in the Male’ harbour and arrested three individuals last night.
According to police media, the suspects taken into custody were a Maldivian male aged 41 and two foreigners aged 33. The arrests were made following a tip-off to the police Drug Enforcement Department (DED).
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(0)Reporters Without Borders (RSF) has released a statement further criticising the “persecution” of Raajje TV, after the recent initiation of a Supreme Court ordered investigation into its content.
The station is currently under investigation by police after the court ordered they look into an October 19 news report which is alleged to have defamed the institution.
“Not only is the accusation spurious but the investigation has been assigned to the police, which has no competence in such a matter,” RSF said.
“As the Maldives Media Council, the Maldives Broadcasting Commission [MBC] and the opposition Maldivian Democratic Party have all said, such an investigation is the Council’s responsibility.”
Raajje TV CEO Yamin Rasheed told Minivan News yesterday that, whilst both himself and the station’s News Head Asward Ibrahim had been summoned to police, he was only only willing to cooperate with the MBC.
“I won’t co-operate with police, but if the police and broadcasting commission get together and find a solution, I am willing to cooperate – if the broadcasting commission direct us to do so,” said Yamin.
Yesterday’s RSF statement sought to remind the Maldives police of its duty to guarantee freedom of information and media independence.
“The police should concentrate on identifying and arresting the perpetrators and instigators of the arson attack that gutted the station’s premises on 7 October instead of worrying about the quality of its programmes,” read the RSF statement.
Following the destruction of the station’s main studios by masked men earlier this month, RSF strongly condemned the attitude of police who failed to prevent the premeditated attack.
The day after the attack, Chief Superintendent of Police Abdulla Nawaz suggested that protests conducted nearby by the Maldivian Democratic Party – with whom Raajje TV is aligned – had diverted police resources on the night of the attack, before arguing that Raajje TV staff had been negligent in not protecting the premises.
Police have today revealed that seven men and one minor have been arrested in relation to the attack.
“This unconstitutional order follows a failure on the part of the police to protect Raajje TV’s headquarters although they had been informed about the threats it had received, and it shows that the authorities are endorsing an offensive designed to silence Raajje TV by any means necessary,” read this week’s RSF statement.
After receiving fresh threats against its premises this week, Raajje TV has been advised by police to hire additional private security.
“The Police also responded to RaajjeTV’s request of Police security stating that there are difficulties in placing Officers for security but the building and the area will be specially patrolled,” read a police statement yesterday.
Since the controversial transfer of power on February 7, 2012, Raajje TV has faced increasing threats. In July 2012, the police and the President’s Office had said it would not cooperate with the TV station, blocking the station from President’s Office’s press conferences and police protection at protests.
The Civil Court has since ruled that the police and President’s Office’s decisions to ostracize the station were both unconstitutional.
In August 2012, critical cables in the station’s control room were cut, terminating the station’s broadcast. Several Raajje TV journalists have also reported arbitrary arrests and assaults.
In February 2013, men wielding iron rods on motorbikes assaulted Asward leaving him with near near-fatal head injuries.
“The same political alliance is behind the fresh threat, which says Raajje TV should be gone from the scene to meet their political needs,” Yamin told Minivan News this week.
The Maldives plummeted to 103rd in the RSF Press Freedom Index this year – a fall of 30 places and a return to pre-2008 levels.
(0)Dislikes(0)When Ahmed Naseem, 48, attempted to verify his information on the voter registry for the new presidential elections scheduled for November 9, he found he had been taken off the list.
The Supreme Court in its verdict annulling the first round of presidential election held on September 7 had deemed him dead and had counted his vote as fraudulent.
“I am saddened and quite fed up. I have been deprived of my right to vote,” Naseem told Minivan News. “Now I have to go to court to regain my identity.”
The Supreme Court annulled the September 7 vote, citing widespread electoral fraud despite unanimous international and domestic praise of a free and fair electoral process.
The apex court claims 5623 ineligible votes were cast – a number that could have altered the narrow margin between the second and third placed candidates.
These votes include votes allegedly cast by 18 dead people, 7 minors, 225 people without authentic identity cards, 773 people with discrepancies in their national identification numbers, 2830 people with discrepancies in their addresses, 952 people with discrepancies in their names, 7 people who did not exist, and 819 people whose national identification numbers were written down wrong by election officials at the time of voting.
Naseem said the Elections Commission had told him he will not be allowed to vote unless he obtains a court document confirming that he is in fact still alive.
“Now, I will not be able to use my identity card for anything,” he said.
Naseem’s wife, Mariyam Zubair, has written to the Supreme Court’s Chief Justice Ahmed Faiz today informing the apex court that her husband is alive.
“The Supreme Court’s verdict no 2013/SC-C/42 has deemed me to be a widow by law,” the letter shared on Twitter said. “I request you to annul [the Supreme Court] decision that my husband is dead and remove my widowhood.”
Back from the dead
Speaking to Maldives Broadcasting Corporation’s Raajje Miadhu (Maldives Today) program, EC President Fuwad Thowfeek said the commission had discovered that at least four of the eighteen people deemed to be dead in the Supreme Court verdict were in fact alive.
In addition to Naseem, the EC had found that Mohamed Ahmed of Addu Atoll Maradhoo Island, Fathmath Didi of Addu Atoll Hithadhoo Island and Khadeeja Gasim of Laamu Atoll Fonadhoo Island were alive.
“Like this, many people who are alive and had voted have been deemed by the Supreme court as votes cast by dead people, and based on that, they have annulled the election,” Fuwad said.
The EC and the Human Rights Commission have criticized the evidence used by the Supreme Court to annul the vote.
In an interview on October 19, Fuwad suggested the Supreme Court was disenfranchising individuals by invalidating votes of those who had address or name mismatches between their identity cards and the voter registry.
“For example, a person called Mohamed Waheed Hassan, may have his name on ID card as Mohamed Waheed. When we gave him the right to vote, they counted it as a fraudulent vote. But the ID card number, address, date of birth and photo is the same … We know it is the same person, the date of birth is exact, the ID card number is the same, photo shows it is the right person,” said Fuwad.
“When we give these people the right to vote, [the Supreme Court] has said that is giving the right to vote to a person who doesn’t have the right to vote,” Fuwad said.
The HRCM, in a leaked report, conducted an analysis of the Supreme Court’s evidence, finding only 1033 of the 5623 votes could be considered irregular.
The commission said the EC may have given 952 individuals with differences in the spelling of their names the right to vote to ensure an eligible voter is not disenfranchised, especially in cases where all other information and picture on the identification documents match.
Further, the commission notes that the 2830 cases of address mismatch should only be counted as evidence if any individual has used the discrepancy to violate another person’s right to vote.
“We do not believe address mismatches can influence the result of this election as this is not constituency specific,” the report said.
Dissenting judges in the Supreme Court verdict said it is the High Court, not the Supreme Court who has jurisdiction over the case. Further, Chief Justice Ahmed Faiz and Justice Abdulla Areef only noted 473 cases of possible fraud.
A new presidential election has been set for November 9. The Supreme Court ordered the EC to discard its voter registry and compile a new one based on the Department of National Registration’s database.
(0)Dislikes(0)United Nations High Commissioner for Human Rights Navi Pillay has released a statement on Wednesday expressing concern about “the dangerous drift in the democratic process in the Maldives largely as a result of the Supreme Court’s repeated interventions in the presidential election process”.
“I am alarmed that the Supreme Court of the Maldives is interfering excessively in the Presidential elections, and in so doing is subverting the democratic process and violating the right of Maldivians to freely elect their representatives,” the statement read.
The Supreme Court immediately hit back today, with Chief Justice Ahmed Faiz describing Pillay’s comments as “poorly researched” and “irresponsible”.
“The Supreme Court nullified the first round of the Presidential Election of 7 September 2013 on the basis of irregularities in the process, despite the general conclusions by national and international observers that the election was free and fair,” read Pillay’s statement.
Pillay also described the court’s election guidelines as “onerous” and “difficult to satisfy”.
“There have been longstanding concerns about the independence and impartiality of the judiciary in the Maldives, which both the High Commissioner and the Special Rapporteur on Independence of Judges and Lawyers, Gabriela Knaul, addressed during official visits to the country in 2011 and 2013,” added Pillay
“I am normally the first to defend the independence of the judiciary, but this also carries responsibilities. Judges should act in accordance with the principles of impartiality, propriety, equality and due diligence, as reflected in the UN Basic Principles on the Independence of Judiciary, the Bangalore Principles of Judicial Conduct, and Maldives’ own code of conduct,” Pillay stated.
The statement further also expressed concern regarding the court’s threats to charge lawyers, media and civil society groups for challenging its decisions, as well as “the reactivation of old cases to arrest opposition MPs or bar them from Parliament.”
“The Supreme Court appears set on undermining other independent institutions, stifling criticism and public debate, and depriving litigants of the legal representation of their choice,” Pillay stated.
Chief Justice’s response
“I harshly condemn UN High Commissioner for Human Rights Navi Pillay’s false allegations regarding the Maldives Supreme Court’s work to uphold its constitutional duties and responsibilities. I do not believe she has any authority to speak in such terms,” responded Chief Justice Faiz today.
Defending the court’s neutrality, Faiz argued that Pillay’s statement was unacceptable for an official operating under the UN’s mandate to protect the rights of large and small states alike.
The first round of the Maldives presidential election – held on September 7 was annulled by the Supreme Court earlier this month, with a fresh round of elections arranged to be held on October 19.
The re-scheduled vote, however, was also cancelled after police obstructed the Elections Commission, citing the Supreme Court’s issued 16 regulation as justification.
As well as condemning the police for the delay, the Human Rights Commission of the Maldives has also condemned the police for “acting beyond its mandate”, while a leaked report by the commission questions the credibility of the evidence used by the apex court in its annulment of the first round of elections.
A joint statement by the International Federation for Human Rights and local NGO Maldives Democracy Network has described the court’s verdict as being founded on “materially baseless arguments”, after the first round was “applauded as a success by the international community.”
A new first round is now scheduled for November 9, with the EC President Fuwad Thowfeek maintaining it will not be changed despite requests to expedite the polling date from both the current government and the contesting presidential candidates.
Government-aligned parties go to SC for political solutions
Progressive Party of Maldives lawyer Ibrahim ‘Wadde’ Waheed submitted a case to the Supreme Court on Tuesday seeking a ruling on the motion passed by the parliament to appoint Speaker Abdulla Shahid as interim head of state in the instance that an elected president cannot be installed by the constitutionally mandated date, November 11.
Waheed is quoted in local media as saying the parliamentary motion has been passed against the constitution and the verdicts of the Supreme Court.
On the same day, Wadde has also submitted another case to the court asking it to rule that the MDP MP Ahmed Hamza’s appointment to the judicial watchdog – the Judicial Services Commission (JSC) – was conducted in breach of the constitution.
In this case, Wadde argued that Hamza is a person who works “against the judiciary” and so he finds it “unacceptable that such a man can serve in the JSC”.
Earlier this month Wadde, alongside Jumhooree Coalition member ‘Madhanee Ihthihaadh’ (Civil Alliance) President Sheikh Mohamed Didi, filed a case in the apex court challenging opposition Maldivian Democratic Party candidate and former President Mohamed Nasheed’s candidacy.
The petition gave as grounds Nasheed’s criticism of the judiciary, as well as his “outright criticism towards Islam and iposing Islamic Sharia’ in the Maldives”.
Jumhooree Coalition’s Presidential Candidate Gasim Ibrahim has also this week called on President Dr Mohamed Waheed to seek advice from the apex court on the course of action he should take should there not be an elected leader by November 11.
Speaking at a party rally, Gasim stated that as Waheed has previously written to the parliament for advice, he believes the president should also seek the opinion of the Supreme Court.
(0)Dislikes(0)Local television station Raajje TV is enlisting the public to boost its security after learning of further threats from political opponents.
“We have a book open to register their names,” CEO Yamin Rasheed. “We are finding citizens to protect us physically.”
The station’s headquarters were destroyed in an arson attack committed in spite of advance warnings communicated to police.
A group of masked men armed with machetes, iron rods and petrol set fire to the station’s main premises shortly before 4:45am on October 7, destroying its offices and control room as well as cameras, computer systems, broadcasting and transmission equipment.
After receiving donated equipment, the station was able to resume a reduced service within hours of the attack.
Yamin said the station had received further reports this week – from “reliable sources” – of threats made against the Maldivian Democratic Party (MDP) aligned station.
“The same political alliance is behind the fresh threat, which says Raajje TV should be gone from the scene to meet their political needs,” he said.
The option to use private security was suggested by police after being made aware of the new threats.
“The Police also responded to RaajjeTV’s request of Police security stating that there are difficulties in placing Officers for security but the building and the area will be specially patrolled,” read a police statement today.
Yamin expressed doubt as whether this was the case, noting that other broadcasters had received the type of protection Raajje TV was now seeking, though he did confirm that police had been maintaining a 24hr presence in the area.
Eyewitnesses on October 7 suggested that police had been in the area on that occasion but had been slow to respond to phone calls, or to the pleas of the on-duty guard – who was stabbed during the attack.
The day after the attack, Chief Superintendent of Police Abdulla Nawaz suggested that MDP protests had diverted police resources on the night of the attack, before arguing that Raajje TV staff had been negligent in not protecting the premises.
The police’s failure to prevent the attack has been condemned by Reporters Without Borders who described it as “a direct blow to freedom of information”.
UN High Commissioner for Human Rights Navi Pillay also called on full protection for Raajje TV and other threatened institutions.
Police Inspector Azeem Waheed has written to Raajje TV CEO Akram Kamaaludheen this week requesting any information relating to past or threatened attacks on the station.
Since the controversial transfer of power on February 7, 2012, Raajje TV has faced increasing threats. In July 2012, the police and the President’s Office had said it would not cooperate with the TV station, blocking the station from President’s Office’s press conferences and police protection at protests.
The Civil Court has since ruled that the police and president’s office’s decisions to ostracize the station were both unconstitutional.
In August 2012, critical cables in the station’s control room were cut, terminating the station’s broadcast. Several Raajje TV journalists have also reported arbitrary arrests and assaults.
In February 2013, men wielding iron rods on motorbikes assaulted Asward leaving him with near near-fatal head injuries.
According to Raajje TV the station had an audience of at least 95,000 people, one of the largest shares of Maldivian media. It reaches India and Sri Lanka, and is also streamed online.
The station is currently under investigation for allegedly defaming the Supreme Court in an October 19 broadcast. Yamin has refused to co-operate with the court ordered police investigation, arguing that such cases fall within the purview of the Maldives Broadcasting Commission.
(0)Dislikes(0)The Criminal Court has warned Maldivian Democratic Party (MDP) MP Hamid Abdul Ghafoor that it will try him absentia if he fails to attend a court hearing scheduled for 1:30pm on Thursday.
Ghafoor took refuge inside the People’s Majlis on Thursday (October 24) following several police attempts to arrest him and present him at the Criminal Court. He is being tried for refusal to provide a urine sample – an offense that carries a one year jail sentence and could disqualify him from his parliamentary seat.
“The Criminal Court orders Hamid Abdul Gafoor of H. Shady Corner, Malé to attend court at 13:00 on 31 October 2013. If Hamid Abdul Gafoor is not present at the court at the specified date and time, we inform him we will continue with and conclude the above trial in absentia as per Article 30 (a) of the Regulations on court summons,” a statement issued by the Criminal Court today said.
Criminal Court Chief Justice Abdulla Mohamed is presiding over the case.
Ghafoor has accused the criminal court of a “politically motivated personal hunt” to influence the MDP and its ally Dhivehi Rayyithunge Party’s simple majority in parliament. Ghafoor is also being tried separately for possession of alcohol.
The MP has pleaded innocent at the two hearings that have taken place so far. A third hearing was scheduled for October 23 at 9:00 am. But Ghafoor’s lawyers told the Criminal Court a day in advance that the MP could not attend due to a parliamentary proceedings scheduled at the time.
Article 11 of the Parliamentary Powers and Privileges Act sates that an MP cannot be summoned to court during Majlis sittings or parliamentary committee hearings.
However, the Criminal Court did not respond to the letter. Instead, it scheduled a new hearing for 1:00pm on October 24 and issued a court warrant ordering police to arrest Ghafoor and present him at court. The MP took refuge inside the Majlis and has not left parliament premises since.
The Criminal Court scheduled a second hearing on Monday October 28 at 9:00am and issued new arrest warrant. The police wrote to Speaker Abdulla Shahid to turn Ghafoor over, but Shahid cited Article 11 of the Parliamentary Privileges and Powers Act and said Ghafoor could not be summoned to court during Majlis hours.
Speaker obliged to protect MPs, says Majlis
Ghafoor’s lawyer Hussein Shameem said his client would appeal the Criminal Court’s “unlawful” arrest warrants at the High Court, saying that the Criminal Court had not followed due process.
Shameem also argued the state had no grounds to prosecute Ghafoor as there was no legal evidence of the police having requested a urine sample. According to the Drug Act, the police are to ask for a urine sample in writing and obtain a signature from the accused if they refuse to provide a sample, he claimed.
Shameem has written to Prosecutor General (PG) Ahmed Muizz to review the case due to “procedural issues” and to carry out the PG’s duty to uphold the constitutional order and the law as per Article 223 of the constitution by taking action against the courts for issuing unlawful summons.
Ghafoor told Minivan News on Sunday that he was willing to stay inside the Majlis premises “until the judiciary is destroyed.”
“Now I know how helpless ordinary citizens are. I feel like I’m being hunted by a corrupt judiciary. You don’t feel good when you are being singled out. You feel like prey. You can never relax,” Ghafoor said.
The MDP has condemned the judiciary’s attempts to “purge” its MPs. On Thursday (October 24), the Supreme Court, in a controversial ruling, stripped MDP MP Ali Azim and DRP MP Mohamed Nashiz of their parliamentary seats over decreed debt.
Eight other MDP MPs are currently being investigated for contempt of court and disobedience to order. MP Abdulla Jabir is also being tried for refusal to provide a urine sample and possession of alcohol.
Meanwhile, former Attorney General Azima Shakoor has criticized Majlis Speaker Abdulla Shahid for allegedly helping MPs evade courts by harboring those who had committed criminal acts inside the Majlis building. Azima was voted out of office in a no confidence motion on Tuesday.
A Majlis secretariat statement has refuted the allegations, arguing that the speaker is constitutionally obliged to protect MPs.
“The People’s Majlis Speaker assures all the citizens he will uphold the rights and privileges enshrined in the Parliamentary Powers and Privileges Act for all Members of Parliament without any political bias,” it said.
The Inter Parliamentary Union (IPU) has expressed alarm over the prosecution of MPs and is to send an urgent IPU delegation to the Maldives.
“I propose that an IPU delegation returns urgently to the Maldives to discuss and agree with the relevant authorities and stakeholders effective steps to ensure that the parliament can fully discharge its legislative and oversight functions freely and independently and that its members can do their work unhindered, without fear of intimidation and harassment or attack on their physical integrity,” said the Secretary General Anders B. Johnsson.
MDP MP Ahmed Easa has submitted an amendment to the Drug Act to reduce the jail time for refusal to provide a urine sample from one year to 15 days. Easa said the specific article in the Drug Act was being used unfairly for politically motivated reasons.
Speaking to local media, the National Drug Agency’s CEO Ahmed Shahid spoke against the amendment, claiming that reducing the sentence for refusal to provide urine would obstruct identifying drug abusers and providing treatment for drug abuse.
(0)Dislikes(0)The Ministry of Foreign Affairs has condemned the vandalism of the Indian High Commissioner’s car on Monday night (October 28).
“The Ministry is deeply concerned that a diplomatic vehicle was subjected to vandalism. The Maldives Police Service is currently investigating the case and the perpetrators will be brought to justice,” read the statement.
“The Ministry wishes to call on all members of the public to refrain from activities that might undermine the close friendly relations that exist between Maldives and its close and friendly neighbours,” the ministry said in a statement yesterday (October 29).”
The Maldivian Democratic Party have also released a statement today, calling for the safety of Indian diplomats to be assured.
“After months of hate mongering targeting Indian officials, it is deeply saddening to see such regrettable incidents against our Indian friends. Maldives and India share an invaluable friendship and we must continue to strengthen our relationship through dialogue, not through intimidation and violence”
(0)Dislikes(0)Parliament today appointed Mohamed Haleem, of Maafanu Million in Male’, as the People’s Majlis’ Sergeant-at-arms with 56 votes in favour and one against.
Under the parliamentary rules of procedure, the Sergeant-at-arms is entrusted with enforcing discipline and maintaining security.
According to newspaper Haveeru, First Lieutenant Haleem retired from the Maldives National Defence Force (MNDF) last month after 23 years of service.
Haleem was among senior military officers who sent a letter of concern to the Chief of Defence Forces following the failure to hold the second round of the presidential election scheduled for September 28.
Minivan News obtained Haleem’s resignation letter addressed to Defence Minister Mohamed Nazim, in which he stated that he did not believe “the security services are currently adhering to the constitutional provisions stated in articles 237 and 238.”
“Also, while the spirit of article 246 of the constitution is, to refrain from political affiliations and to treat equally among the people and different groups, respecting the principles of Islam and human dignity, I do not see this currently happening [within the security services],” First Lieutenant Haleem stated.
“For the last 23 years [of my military service]; I have served this country under a solemn oath taken in the name of Allah, I do not see any way that I can carry out my duties as prescribed in the constitution and the military act, while in this position, therefore I request you to relieve me from my duties,” he concluded.
Meanwhile, in July 2011, Independent MP Mohamed ‘Kutti’ Nasheed called for the appointment of a Sergeant-at-arms as provided for in the regulations following weeks of disrupted sittings.
(0)Dislikes(0)An estimated budget of MVR16.4 billion (US$1 billion) for 2014 was submitted to parliament today by Finance Minister Abdulla Jihad, with a projected deficit of 2.5 percent of GDP.
Presenting the budget this morning, Jihad said the forecast for government revenue in 2014 was MVR13.9 billion (US$901 million), with income from taxation projected at MVR10.2 billion (US$661 million) and non-tax revenue of MVR3.5 billion (US$226 million).
In addition, MVR2.3 billion (US$149 million) was expected from new revenue raising measures.
As government expenditure in 2014 was estimated to be MVR14.9 billion (US$966 million), Jihad said, the resulting budget deficit would be MVR988 million (US$64 million).
The fiscal deficit would be plugged by foreign assistance, loans and domestic sources of finance, Jihad said.
The total budget reaches MVR16.4 billion including loans and foreign aid, Jihad explained, which was not included in total expenditure.
While the economy grew by 3.7 percent in 2013, economic growth is estimated to be 4.5 percent next year, he said.
Similar to previous years, Jihad observed, recurrent expenditure (MVR12 billion) accounts for 73 percent of the total budget, with almost half spent on salaries and allowances for state employees in addition to administrative costs, interest payments and subsidies.
A total of MVR2.2 billion (US$142 million) was allocated for social security and welfare spending, Jihad said, which covers the government health insurance scheme ‘Aasandha,’ electricity subsidies, pensions for the elderly and expenditure on price controls.
While MVR2.4 billion (US$155 million) was allocated for the Public Sector Investment Programme (PSIP), Jihad said MVR1.9 billion (US$123 million) of it would be spent on infrastructure projects in the atolls such as construction of harbours and establishing sewerage systems.
The finance minister revealed that government revenue was expected to reach MVR11.5 billion (US$745 million) by the end of 2013.
The original forecast in the 2013 budget was however MVR12.9 billion (US$836 million).
The 2013 fiscal deficit, projected at MVR1.4 billion (US$90 million), would stand at MVR1.7 billion (US$110 million) by the end of the year, Jihad said.
Following a budget debate next month, the proposed budget would be sent to the Budget Review Committee, consisting of all the members of the economic affairs and public finance oversight committees, for scrutiny and possible amendments.
In December 2012, the Budget Review Committee deducted more than MVR1 billion (US$64.8 million) from the MVR16.9 billion (US$1 billion) budget submitted by Finance Minister Jihad before parliament passed the a MVR15.3 billion (US$992 million) budget for 2013.
Revenue raising measures
In its latest Quarterly Economic Bulletin, the Maldives Monetary Authority (MMA) observed that government finances had “further deteriorated in the first six months of 2013” due to a sizeable shortfall in expected revenue coupled with a marked increase in recurrent expenditure.
The central bank’s economic bulletin explained that around 15 percent of total revenue budgeted for 2013 – MVR1.8 billion (US$116.7 million ) – was to be raised from new revenue measures, “which so far have not materialised.”
The revenue raising measures proposed in the 2013 budget included hiking Tourism Goods and Services Tax (T-GST) to 15 percent from July 2013 onward, raising airport service charge to US$30, leasing 14 islands for resort development, raising tariffs on oil, introducing GST for telecom services, and “selectively” reversing import duty reductions.
In April, parliament rejected government-sponsored legislation to raise the departure tax on outgoing passengers, prompting Finance Minister Abdulla Jihad to seek parliamentary approval to divert MVR 650 million (US$42 million) allocated for infrastructure projects in the budget to cover recurrent expenditure.
The move followed a cabinet decision to delay implementation of new development projects financed out of the budget due to shortfalls in revenue.
The economic bulletin also revealed that the total government expenditure of MVR6.7 billion (US$435 million) in the first half of 2013 was eight percent higher than the same period in 2012.
The growth of government spending was “entirely due to the 21 percent (MVR965.3 million) growth in recurrent expenditure, which was partly offffset by the 26 percent (MVR440.6 million) decline in capital expenditure during the period.”
Presenting the 2014 budget today, Jihad said the government proposes six new revenue measures to be implemented next year pending parliamentary approval,
Austerity
Jihad also advised implementing a raft of austerity measures, contending that the “expensive” public management model adopted in the Maldives was inappropriate for a small island state.
Almost 50 percent of government income was spent on employees, Jihad noted, advising revision of the state pension system and reduction of the numbers of island and atoll councillors as well as members of independent institutions and boards of government-owned companies.
As “the basis of increasing state expenditure is having to provide all facilities to small populations in separate islands,” Jihad said prompt implementation of a population consolidation policy was necessary for a long-term solution.
The current model of more than 1,000 elected councillors established by the Decentralisation Act passed in 2010 by the then-opposition majority parliament was branded “economic sabotage” by the ousted Maldivian Democratic Party (MDP) government, which had proposed limiting the number of councillors to “no more than 220.”
In March 2011, former chair of parliament’s Finance Committee, MP Ahmed Nazim, told Minivan News that the opposition Dhivehi Rayyithunge Party (DRP) had been too “heavy handed” in working with government.
“I was advocating that even now, we will work with the MDP to reduce the number of [island] councillors in small areas from five to three posts. There is simply not enough work for all of them to do. Some opposition took a heavy handed approach meaning there was no need for compromise,” the current Progressive Party of Maldives (PPM) MP said, despite having voted for the bill framed by the opposition.
Meanwhile, in its professional opinion on the 2013 budget, the Auditor General’s Office stated that a policy of population consolidation together with effective measures to reduce the public sector wage bill was necessary to rein in the continuing fiscal deficits.
Moreover, in November 2012, a team from the International Monetary Fund (IMF) advised that strengthening government finances was “the most pressing macroeconomic priority for Maldives”.
Jihad said today that a National Pay Review Board had begun reviewing the pay scale of state employees, which was among the recommendation’s of the IMF mission.
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