Day: February 25, 2014

‘Unlimited Aasandha’ scheme will be sustainable, says President Yameen

President Abdulla Yameen last night inaugurated the ‘Unlimited Aasandha’ universal health scheme, a presidential campaign pledge and part of his first hundred day programme.

Criticising the Aasandha service introduced by President Nasheed, Yameen said the new Aasandha will have no limit on the amount of money that can be spent or with regards to age categories.

“Today the state of Aasandha is that every one has one lakh rufiyaa limit. Without any regard to the illness the person has, how much has to be spent, it is over for them when the one lakh limit is reached,” Yameen said.

Yameen stated that the new scheme will be “sustainable and funded by the state budget”. Cabinet Minister Ahmed Adeeb has suggested that ‘Unlimited Aasandha’ and other enhanced social services will be financed through long term government bonds.

President Yameen noted that the following will be covered by the new ‘Unlimited Aasandha’ scheme;

  • Sports injuries – including surgical procedures and rehabilitation treatment for professional athletes
  • All accidents and emergencies that happen while abroad
  • Emergency transfer of patients from islands
  • Transportation tickets for medical escorts to travel abroad with patients under 18 and above 65 years
  • Organ transplants and any permanent medication that is required after such a surgery
  • Unlimited coverage for pregnant women
  • Free annual medical checkups for every citizen above 30 years of age, and for school children

Though persons with special needs are not exempted, their temporary, permanent, and physical aids will not be covered through the service, said Yameen. The president pledged to find a solution to this problem during the next Majlis.

As the ‘old’ Aasandha was reportedly abused by members of the public and even health care providers and pharmacies, Yameen urged all to use the service “in good faith”.

“This is a service that is spent from people’s money for all citizens. So everyone should use it responsibly”.

The new unlimited service is an upgrade from the existing Aasandha programme introduced by President Mohamed Nasheed which encountered a number of issues, particularly with regards to sustainability.

After reaching the brink of financial collapse in August 2012, small charges were introduced to the scheme at private clinics. The opposition Maldivian Democratic Party (MDP) suggested that Yameen’s Progressive Party of Maldives and the coalition alliance had deliberately sabotaged the service.

Financing the pledges

The government has also made assurances that it can fulfill its pledges to increase old age benefits and to pay fishermen an allowance of MVR10,000.

The MVR2,000 pension for individuals over 65 years of age was increased to MVR2,300 through an amendment to pension legislation, while President Yameen has pledged to further increase it to MVR5000 starting from 1 March 2014.

The pledge to pay MVR10,000 to every fisherman regardless with or without any catch had later been explained by the Minister of Fisheries and Agriculture as an insurance scheme whereby fishermen would pay a monthly premium of MVR500 (US$32) during the fishing season to gain MVR10,000 (US$ 650) during the off-season.

On Sunday, however, President Yameen said the insurance scheme for the fisheries and agriculture sector was just one of the pledges to have been achieved within the first 100 days and that the  MVR10,000 allowance would be provided for fisherman as promised starting next month.

The government will need to generate MVR1 billion (US$64.9 million) from investments this year to sustain the pension increase alone.

“The economic committee [a cabinet sub-committee] decided to utilise a long term finance instrument based on a long term bond and t-bills through seven to five years,” Minister of Tourism Ahmed Adeeb said at a President’s Office press conference yesterday.

Assuring that the model was capable of financing the increases, Adeeb said that funds could be increased through legislative changes, and suggested that the Maldives could combine various funds – such as housing fund, health insurance, and pensions – into a single fund.

“If you look at countries like Singapore, all these funds are the contained in a single fund,” he said, stating that as a small country it is a good financial model for the Maldives to create a single strong fund.

Budget deficit

Commenting on Adeeb’s proposals, Mahmud Razee – former economic development minister under Mohamed Nasheed’s administration – said that both T-Bills and bonds, even if it they long term, will increase the national debt.

“These are loans, and taking loans is acceptable to invest in to increasing productivity. But this is not such an investment, this is something the government is spending. Eventually people will have to bear the burden of this,” Razee said.

Referring to the proposal to combine funds, Razee said that if the government was serious about it they should establish the necessary legal mechanisms for such a system.

“When we talk about Singapore, we should know that they can do it because they have that level of savings. But that is not the case with us,” he said.

The money in the pension fund has been entrusted with the state by people who want pensions, and it should not be mixed with other funds, Razee argued.

Selling treasury bills and treasury bonds has been one of the main approaches the government has taken to finance the budget deficit over the past few years.

Last December, the central bank and regulator – the Maldives Monetary Authority (MMA) – advised the state to pay all due treasury bills and treasury bonds and to turn existing short-term debts into long-term ones.

In a 2013 report which described the Maldives as “spending beyond its means”, the World Bank noted that the government had spent over MVR900 million on Aasandha from a budget of just MVR720 million.

Suggestions regarding Aasandha include decreasing the cost of drugs predominantly used by the poorest segments of the population, limiting spending for overseas treatment, moving toward a more close-ended provider payment system, and targeting subsidies only at needier patients.

This year’s record MVR17.95 billion (US$ 1.6 billion) budget has a deficit of MVR1.3 billion (US$84.3 million). The People’s Majlis recently approved a number of revenue-raising measures, while the government has announced it is aiming to reduce expenditure and achieve a balanced budget within a year.

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Project for 100 houses in Vilifushi initiated

The Housing Ministry has begun a project to build 100 houses for the people of Vilifushi in Thaa atoll who were displaced by the 2004 tsunami.

Minister of Housing and Infrastructure Dr Mohamed Muizzu told Sun Online today that this first phase of the project will be started within the next two weeks and should be completed in 12 months.

The houses, for which all residents of the island are welcome to apply, will cost MVR2,500 per month over a 15 year period, said Muizzu.

After being devastated by the tsunami, with the entire community – over 1,800 people – displaced, Vilifushi was later reclaimed using donor aid before resettlement began in 2009.

Last December, President Abdulla Yameen noted that 427 families throughout the country still required permanent housing after the tsunami, pledging to rehouse all those in need.

The Human Rights Commission also noted that it continued to receive complaints from survivors, largely regarding lack of permanent shelter, compensation for damages caused to houses  and delays in housing projects.

The 2004 tsunami resulted in 82 deaths and 26 missing persons in the Maldives. Figures from the UN show that the disaster displaced nearly 10 percent of the Maldives’ population, severely damaging a quarter of inhabited islands with 14 completely evacuated.

Noomadi Resorts Private Limited has been commissioned to carry out the resort, reported Sun.

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Islamic minister calls for dialogue following mosque closure

Following the closure of Dharumavantha Rasgefaanu mosque earlier this month, Minister of Islamic Affairs Dr Mohamed Shaheem Ali Saeed has stressed that all religious differences can be settled through dialogue.

“Those who pray separately at certain mosques, please come to us. Let’s discuss this matter. There’s nothing that can’t be solved if we sit down and share religious information,” he told local media.

The Mosque was shut down on the home minster’s order following an unauthorised congregation which had reportedly prayed for the government’s destruction. Shaheem himself has previously described the group as “extremists”.

The worshipers at the mosque also prayed against the heads of the government, the Islamic ministry, and the city council, asking for their ill-health and for a calamity to befall upon them

“Some media have reported that the mosque might be demolished, or people might be arrested while they are praying at the mosque. The present government, the government of President Yameen Abdul Gayoom, would not do anything against Islamic principles. They would not demolish the mosque, or inflict injury on anyone unjustly,” Sun Online quoted the minister as saying today.

Sun also reported that the congregation has continued to assemble at the mosque despite the government’s actions. Current legislation places all mosques under the authority of local councils.

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Framework for teacher evaluation introduced

The Ministry of Education has introduced a technical framework for the evaluation of teachers, local media has reported.

“We created this criterion after observing how it is done in other countries, the status of teaching staff currently working in the Maldives and after having considered the things society accepted as which should be stated on the teacher’s work contract,” Sun Online quoted State Minister for Education Adam Shareef Umar as saying.

“Teachers will be able to identify what they can do to improve themselves in the light of this criterion,” he said, speaking at a ceremony held in the ministry yesterday (February 24).

Earlier yesterday, Education Minister Dr Aishath Shiham expressed satisfaction with her ministry’s efforts during the government’s first 100 days.

Although Dr Shiham noted that work is in progress with regards to increasing allowances for teachers, the Teachers Association said the it had no knowledge of such efforts, and was still awaiting an opportunity to meet with ministry heads with regards to pay discrepancies.

“The government have started some things within this period, and they maybe important things and good policies. But it is more important to fix the existing loopholes in the education system,” said association President Athif Abdul Hakeem.

He said the association was continuing to plan nation-wide strikes in relation to the issue.

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MNDF sacks Colonel Ziyad

Colonel Mohamed Ziyad has been sacked by the Maldives National Defence Force (MNDF) on February 20.

In early 2012, Colonel Ziyad was among senior military officials charged in relation to the controversial detention of Criminal Court Chief Judge Abdulla Mohamed on January 16, 2012.

At the first hearing of his trial at the Hulhumalé magistrate court in February 2012, Colonel Ziyad pleaded not guilty to the charges of arbitrary arrest and detention.

Ziyad’s sacking last week followed the dismissal of six senior officers, including Brigadier General Ahmed Nilam, in November 2013.

The MNDF said at the time that Nilam had been demoted from the post of Brigadier General and dismissed for “violating MNDF duties and disciplinary norms, repeating acts that should not be seen from an MNDF officer, revealing secret information against military regulations, diminishing the honor of the MNDF, and sowing discord in the military”.

While First Lieutenant Abdulla Shareef, Sergeant First Class Ali Waheed, and Staff Sergeant Ibrahim Ali were dismissed for allegedly breaching the MNDF’s duties and responsibilities, Staff Sergeant Hassan Hameed was dismissed for disciplinary offences and Lance Corporal Shahrab Rashid for leaking secret MNDF documents.

All six soldiers had previously been suspended on charges of sowing discord in the military.

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EU concern over Supreme Court’s action against Elections Commission

Read this article in Dhivehi

The EU has expressed “concern” over the Supreme Court’s decision to prosecute the Elections Commission for contempt of court

“The EU Delegation notes with concern the current action of the Supreme Court on its own initiative to bring before it members of the Elections Commission who have expressed concern over its judgments,” read a press release from the EU delegation based in Sri Lanka.

The court’s decision to bring the charges of contempt of court refer to criticism of the decision to annul last September’s presidential election first round.

The EC has also been accused of disobeying a Supreme Court order by dissolving eight political parties earlier this month.

September’s annulled vote had been universally praised as free and fair, while the evidence used to cancel the result has been criticised by the UN as well as EC President Fuwad Thowfeek.

“The EU Delegation recalls the importance of legal proceedings being fair and transparent in accordance with international standards, and call on the Government of the Maldives to ensure the independence of the Elections Commission in the run up to and during the Majlis Elections so that they can proceed as scheduled on 22 March 2014. “

In addition to utilising new ‘Sumoto’ (or ‘Suo motu’) regulations that allow the apex court to initiate hearings and act as both plaintiff and judge in a trial, the Supreme Court’s contempt charges are based on privileged testimony given to the People’s Majlis by EC members.

Article 90 of the constitution says no person will be subject to any inquiry, arrest, detention, or prosecution with respect to anything said in the People’s Majlis or any of its committees if such a statement is not contrary to tenet of Islam.

However, claiming the establishment of justice to be a tenet of Islam, Supreme Court Judge Ahmed Abdulla Didi has said the EC’s testimony at the independent commissions oversight committee obstructed justice and could therefore be used in court.

EC President Thowfeek has denied the charges against the commission, noting that “testimony provided at the People’s Majlis committee was not given to hold the court in contempt, but to be held accountable to the EC’s actions.”

The Supreme Court has said that no party has the authority to question or criticise its decisions as per Article 145 (c) of the constitution which states that the Supreme Court shall be the final authority on the interpretation of the constitution, the law, or any other matter dealt with by a court of law.

In today’s statement, the EU has expressed concern that the current proceedings “risk undermining the vital independence of the Elections Commission, respect for the separation of powers and free expression in the Maldives.”

The issue of separation of powers has been a regular theme this week as politicians continued to campaign for the March 22 poll, with leaders from both the Maldivian Democratic Party (MDP) and the Progressive Party of Maldives claiming that their parties can best ensure the three branches of government are kept apart.

Most recently, while campaigning in Malé for the governing coalition on Sunday (February 23), former President Dr Mohamed Waheed suggested that “we have separated the power so much that the country is suffering”.

“This country can’t go forward if we separate the powers any more,” said Waeheed.

Former President Mohamed Nasheed yesterday told representatives of the UN that he did not expect his MDP to take part in the elections should the EC members be arrested and replaced.

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Saudi investment firm to develop US$100 million resort in Laamu atoll

Saudi real estate investment and development firm Best Choice has announced plans to develop a US$100 million resort on Vadinolhu island in Laamu Atoll.

“We are negotiating with investors, and we are looking for more,” Best Choice CEO Mohamad Rabih Itani told Minivan News today.

“Our aim is to develop Vadinolhu Island as a high-end resort with world-class facilities to promote it as a complete family destination,” Itani explained in a company press release.

With headquarters in Bahrain, Best Choice – formed just last month – also has offices in Turkey and the Maldives. The company’s owners, however, have been active in the Maldives for a number of years, Mitani told Minivan.

“The company was established last month, but we already had a company in the Maldives called Miulu developments since 2011.”

Established by Saudi investors, the group currently specialises in properties in Italy and Spain, as well as selling mixed-use projects in Turkey and residential developments in Saudi Arabia.

Saudi Prince Salman bin Abdulaziz is scheduled to visit the Maldives this week, and ties between the Arab state that the Indian Ocean archipelago have been growing under the presidency of Abdulla Yameen.

Headlines in Saudi Arabia have suggested that Prince Salman will discuss potential investments and partnerships in energy, tourism, transport, and Islamic affairs, as well the provision of a soft loan facility of US$300 million for the Indian Ocean nation.

President’s Office Spokesman Ibrahim Muaz today said that prince’s visit is still due to take place, and that Prince Salman will meet with President Yameen during his stay.

When asked about Best Choice’s links with the Saudi royal family and the increasing relations between the two states, Mitani stated that the timing of the resort announcement was “pure coincidence”.

The proposed resort, reported to feature 100 beach villas, world-class dining services, wellness facilities, and leisure activities, a Best Choice press release has stated. The resort is expected to be completed by 2017.

“We have already designed a business proposal targeting potential investors to collaborate with us in the operation and management of the resort. We are confident of achieving an operating profit in the second year with the cash payback period at six years,” Mitani explained.

Best Choice’s press release describes the Maldives as “one of the most recent investment destinations in South Asia”.

“Due to its investment-friendly policies, the South East Asian Island offers attractive opportunities to keen investors – especially those into resort management,” read the release.

The Yameen administration has sought burnish the country’s credentials as an attractive place to invest after the premature termination of Indian company GMR’s deal to develop the international airport in late 2012.

Although Yameen’s Progressive Party of Maldives – part of the governing coalition at the time of GMR’s expulsion – includes many vocal opponents of the GMR deal, the party has since distanced itself from the decision.

Reassuring foreign investors of the safety of the Maldives as a destination for investment was recently announced of one of the main aims of the administration’s foreign policy.

The Maldives brand of luxury tourism currently accounts for 70-80 percent of the country’s GDP, with the IMF noting recently that investors in the Maldivian resorts can expect a quicker return on investment than in similar resort industries. The industry attracted over 1.2 million tourists in 2013.

The IMF delegation also noted that, despite plans to increase tourist goods and services tax to 12 percent later this year, the Maldives tourism industry was still only lightly taxed in comparison to other destinations.

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Construction of flats for police to begin next month

Construction of flats in Hulhumalé for police officers will begin during March, President Abdulla Yameen said yesterday during a visit to the Iskandhar Koshi headquarters.

According to police media, President Yameen said at the meeting that resolving housing issues for police personnel in Malé and the atolls was a high priority of his administration.

“Speaking in this vein, the president said construction work in the project for providing housing to police will begin during March with God’s will,” police media revealed.

President Yameen said he has personally witnessed the “difficult conditions” that officers were working in the atolls, adding that the government would “prioritise finding an adequate solution” and would strengthen police welfare mechanisms.

In a visit to the Kalhuthukala Koshi military barracks two days ago, Yameen also pledged to provide housing for soldiers. He reportedly urged soldiers to respect the military’s discipline, code of honour and the dignity of the uniform.

The executive will work with the next parliament to pass legislation needed for policing and provide support to police efforts for establishing a safe and peaceful environment for citizens, he told police officers yesterday.

President Yameen also expressed gratitude to police officers as well as their families for their “patient and hard work” in the face of political unrest during last year’s presidential election.

The president was greeted upon arrival at the police barracks by Commissioner of Police Hussain Waheed, Deputy Commissioner Ahmed Saudhy and “a large number of police,” whom he then joined for evening tea.

“During the president’s visit, he met police officers individually and spent a long time at Iskandhar Koshi. And he offered an opportunity for police officers with queries for him to pose questions and answered their questions,” police said.

In September 2013, the previous administration awarded 300 flats to police officers under a housing project to be carried out jointly by the government-owned Housing Development Corporation (HDC) and the Police Cooperative Society (POLCO).

Under the MVR580 million (US$37.6 million) ‘Blue’s Housing Project,’ 210 three-bedroom and 90 two-bedroom apartments were to be constructed in Hulhumale’.

In addition to the housing project, then-President Dr Mohamed Waheed awarded 50 flats to senior police and military officers.

The awarding of 300 flats to police officers was criticised by the opposition Maldivian Democratic Party (MDP) as a continuation of the patronage system established during the 30-year reign of former President Maumoon Abdul Gayoom.

“In the light of extensive exposes, such ‘patronage’ is familiar to voters from the single party dictatorship of Gayoom and I believe they will simply say to each other ‘I told you so’,” MDP MP and Spokesperson Hamid Abdul Ghafoor told Minivan News at the time.

Ghafoor said it was “very concerning” that police should be given flats exclusively instead of teachers, doctors and other civil servants. He also questioned the selection process for awarding flats.

While some of the officers may have deserved the housing, there was concern that some officers involved in the alleged “coup d’etat” on February 7 had been rewarded with flats, Ghafoor claimed.

Since the controversial transfer of presidential power that brought Dr Waheed to office in February 2012 – in the wake of a violent police mutiny instigated by officers of the Special Operations (SO) command – more than 1000 police officers were promoted, 110 new police officers were hired, arrangements were made for cheap accommodation in Sri Lanka for police officers and their families and a loan scheme was set up for police officers.

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Inmate suffers serious head injuries in Maafushi Jail fight

A Maafushi Jail inmate is currently undergoing surgery in Malé’s Indhira Gandhi Memorial Hospital (IGMH) following a fight at the jail.

Ibrahim Azar of Maafannu Dhodhilge was brought to Malé at around 9:00pm with serious head injuries. He was serving a five year drug abuse sentence. Eyewitnesses say he was unconscious at the time.

Speaking to local broadcaster Raajje TV, Azar’s mother said she had rushed to the hospital after she received reports that her son had been injured in a fight.

“They [police] told me there is no danger. It was just a fist-fight. He does have head injuries. He is talking with his hands. But I asked if he is not injured, why is he talking with his hands?” she said.

Following a CT scan, doctors later told her Azar had suffered several injuries to his skull and needed major surgery.

“My hands were shaking so a relative had to sign the consent forms for surgery,” she said.

Azar is currently serving his second year in jail. His mother said she has not spoken to him in over a month.

“I have not received the six minute phone call I should get from jail,” she said.

Speaking to local newspaper Sun Online, Azar’s brother said: “Even when he was taken out from the emergency room to the operation theater, he was bleeding heavily from his head. The bandage around his head was soaked in blood.”

The fight reportedly occurred between Azar and another inmate.

A Maldives Police Services team is currently at Maafushi Jail to investigate the case.

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