Day: January 22, 2015

Nasheed urges President Yameen to convene all-party talks

Maldivian Democratic Party (MDP) President Mohamed Nasheed has called on President Abdulla Yameen to conduct official talks with all political parties.

“As soon as possible, even if possible tonight, I urge President Yameen to commence talks with all political parties, especially with the inclusion of President Maumoon [Abdul Gayoom] in the talks,” said the former president.

“I urge President Yameen to hold discussions with President Maumoon, Honourable Gasim, even us and leaders of Adhaalath Party. Also to move away from actions that will push Maldives into chaos.”

Speaking to journalists on his return from an official trip to Abu Dhabi, Nasheed urged Yameen to abandon his strict and arbitrary policies and actions against other political figures.

Nasheed also called on President Yameen to bring any necessary legal or constitutional changes through dialogue with political parties.

Earlier this week, the MDP held a rally in front of Maafannu Villa, the residence of Jumhooree Party (JP) leader Gasim Ibrahim, after reports that the Maamigili MP’s home was to be raided, as the now-dismissed defence minister’s was on Sunday morning (January 18).

Speaking at the rally, MDP Chairperson Ali Waheed said the MDP and JP were having informal talks to create a platform to defend the Constitution.

President Nasheed tweeted yesterday (January 21) that he had been informed of government plans to arrest him on his return, saying: “I have cut short my trip & will be back tomorrow. I’ll always stand up for democracy”.

While Nasheed was out of the country, his legal team was informed that the High Court was to resume the Hulhumalé Magistrates Court appeal case, the result of which could see Nasheed’s trial for the 2012 detention of Criminal Court Judge Abdulla Mohamed resume.

Nasheed also claimed this afternoon that the government planned to sign the Maritime Silk Route agreement on January 25 and to hand over large parts of Laamu Atoll to China for the establishment of a military base for 99 years in return for US$2 billion.

“When such actions are taken, the relationship between some bigger neighbouring countries and Maldives will deteriorate significantly”, Nasheed stated.

Speaking last month at the inaugural ceremony of the Laamu Atoll link road – built and financed by the Chinese government – Yameen revealed that the government had identified the area as a potential special economic zone (SEZ).

Tourism minister and head of the SEZ investment board Ahmed Adeeb was unavailable for comment at the time of publication.

On December 16, the Maldives officially signed up to China’s Maritime Silk Route project, with economic development minister Mohamed Saeed signing an MoU during the first meeting of the Joint Committee on Trade and Economic Cooperation in Beijing.

President Xi Jinpeng has repeatedly called upon the Maldives to become involved in the project, which Xinhua has reported to have the support of over 50 countries.

One such urging came during Xi’s state visit to the Maldives in September 2014 – the first by a Chinese head of state, representing the rapidly expanding ties between the two countries.


Related to this story

MDP holds street rally in front of Gasim’s residence

We must once again rise up to defend the Constitition, says Nasheed

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Items confiscated by police do not belong to Nazim or his family, say lawyers

Former Defense Minister Colonel (retired) Mohamed Nazim’s legal team says that items confiscated by police at his apartment last weekend do not belong to him or his family.

Nazim’s lawyers released a press statement today saying that the former minister wanted to to make it clear to the public that he does not know who the “items” belong to.

Former Attorney General – and former cabinet colleague of Nazim – Azima Shukoor will head the legal team who today said that their client did not commit any act in violation of the law and that “he would like to assure everyone that he would not do anything in violation of the law in the future.”

Nazim – who was also acting health minister – was dismissed from his post on Tuesday (January 20), three days after police raided his apartment in the Galolhu ward under a court warrant.

President’s Office spokesperson Ibrahim Muaz tweeted at the time that Nazim had been “expelled from his post due to an ongoing investigation”.

On the same day, Muaz announced that Major General (retired) Moosa Ali Jaleel had been appointed as the new minister of defense and national security.

Police subsequently told the press on Tuesday that they had found dangerous weapons at Nazim’s house during the search, though they denied knowing it was Nazim’s home before the raid.

“We found dangerous weapons at his house,” said Spokesman for Commissioner of Police Ahmed Shifan. “Nazim and some of his family members were questioned regarding the weapons but they failed to adequately respond to the questions.”

Speaking to the media the same day, Nazim said that recent events had shown that no Maldivian was assured of safety and security.

“This gives an alarming signal that entering any house, at any time and to do anything is possible. The defence minister is the most senior official standing beside the president,” he said during a press conference held at the studios of DhiTV.

“It is how things are in all parts of the world. If the situation is so that the minister’s house can be raided at any time, no Maldivian citizen will have safety and security”.


Related to this story

Nazim dismissed as defence minister, replaced by Moosa Ali Jaleel

Dangerous weapons found in Nazim’s house during raid, say Police

Police raid Defence Minister Nazim’s home in early hours

Opposition condemns Defense Minister Nazim’s apartment raid

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Changes brought to senior MNDF positions

President Abdulla Yameen has replaced two senior officers in the Maldives National Defence Force (MNDF), reports Haveeru.

In the first major changes to the MNDF following the dismissal of Mohamed Nazim as defence minister, Lieutenant Colonel Ahmed Fayaz (Papa) has replaced Major Ahmed Faisal as head of the Special Protection Group – charged with ensuring the security and safety of the president.

Captain Ibrahim Naeem is also reported to have been removed from the head of armory and replaced by MNDF intelligence head Lieutenant Colonel Abdul Rauf.

MNDF Spokesman Major Hussein Ali told Minivan News that routine changes were common, and that any information that has to be publicised will be.

The dismissal of Nazim from the post of minister of defence and national security came as a result of a police investigation into illegal weapons being kept in the minister’s home.

He had been in the position since February 2012 – one of the first appointments made by President Dr Mohamed Waheed following the controversial resignation of President Mohamed Nasheed.

Source: Haveeru

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Supreme Court decides on providing living allowance to judicial staff

The Supreme Court has decided to provide a living allowance to all judicial staff to ensure that they remain unbiased in their work.

A circular released last night – signed by Chief Justice Abdullah Saeed – read that, in order ensure the independence and integrity of staff who are working towards ensuring the rights of the general public and fulfilling constitutional responsibilities, it is necessary to provide them with a reasonable compensation.

The living allowance was approved by amending Article 53 of the judicial staff regulations by the Supreme Court in accordance with the powers vested to the Supreme Court by the Constitution.

The amount to be given out to staff as the living allowance will be decided by the Judicial Administration Department as per the amendment.

Source: Haveeru

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Tourism minister Adeeb appointed acting Home Minister

Minister of Tourism Ahmed Adeeb has been appointed the acting minister of home affairs, while Umar Naseer is travelling abroad.

According to Sun Online Umar Naseer is leaving on an official trip coupled with a personal one, although no details on when he would be returning was revealed.

President Abdulla Yameen yesterday (January 21) brought changes to a number of ministries and state institutions in the aftermath of Colonel (ret) Mohamed Nazim’s dismissal as defence minister.

Minister of Fisheries and Agriculture Dr Mohamed Shainee was appointed to the vacated acting health minister’s position, while Umar Naseer was appointed to the Local Government Association.

Additionally, the Department of Immigration and Emigration – under Nazim’s remit as part of the defence ministry since December 2012 – was reallocated to the Ministry of Economic Development.

Adeeb had previously acted as defence minister earlier this month, when Nazim was away on personal business.

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Maldives’ resorts among world’s best, but industry insiders express concern over Green Tax

Three Maldivian resorts have been named among the world’s top 25 hotels by TripAdvisor, but industry specialists have expressed concern over the new green tax and rising prices.

Gili Lankanfushi Maldives placed top in the recently announced Traveler’s Choice Awards, based upon the quantity and quality of reviews posted on the website, while two other Maldivian resorts – Cocoa Island and Constance Moofushi – ranked at number six and fifteen, respectively.

The survey by the world’s largest travel website acknowledged over 8,100 properties based on one year’s worth of reviews and opinions from its 315 million unique monthly visitors.

“We are very glad that three of our resorts got included as top hotels in the world,” said Maldives Association of Tourism Industry Secretary General Ahmed Nazeer.

Four other Maldivian locations were named as part of the top 25 hotels in the Asian region. Baros Maldives was awarded ninth place on the regional list, Soneva Fushi placed 13th, while LUX* Maldives and Komandhoo Maldives Resort earned 21st and 22nd, respectively.

Meanwhile, industry specialists have expressed concern that the Maldives might soon become an overpriced destination due to increasing taxes and service charges, with the latest levy taking the form of a US$6 green tax.

“The green tax will definitely have an impact,” said Shafraz Fazley, Managing Director of Viluxur Holidays to ttgasia.com. “It is (already) becoming too expensive to go to top resorts because of all the service charges and taxes.”

The US$6 green tax was announced in November last year with the tourism minister Ahmed Adeeb saying that the revenue generated from the tax will go into managing waste from local resorts and other islands.

Rising arrivals, rising costs

The tax is part of  new revenue raising measures outlined in the record MVR24.3 billion (US$1.5 billion) state budget for 2015, which also includes the addition of ten resorts to the current 109 registered facilities. These measures are anticipated to raise MVR3.4 billion (US$220 million) in revenue for the government.

The green tax will be introduced 11 months after the abolition of the US$8 per night bed tax, and one year after the hike in the Tourism Goods and Service Tax (T-GST) from 8 to 12 percent. Airport service tax was also raised from US$18 to US$25 in July 2014 for visitors leaving the country.

Maldives Association for Travel Agents and Tour Operators President Abdulla Ghiyas was reported as having told TTG that the resort contracts will be unaffected as the bed tax had been taken into account, though the opposition has previously called the levying of this and T-GST simultaneously as “double taxation” on the industry.

“Have a look at the TripAdvisor Forum,” Michelle Flake from Koamas Luxury Escapes told TTG. “I am sure people are moaning and saying it will be too expensive for them to come soon.”

After receiving more than one million tourists for the second consecutive year in 2014, the tourism ministry estimates that the Maldives will see 1.4 million tourist arrivals this year.

Speaking to Minivan News about the past year, however, Tourism Employee’s Association of Maldives Secretary General Mauroof Zakir said that, despite the increased arrivals, the tourism industry suffered as a whole in 2014.

“Total tourist arrivals have increased compared to the previous year. However, as arrivals from Europe and Russia decrease, less income is generated as the replacing Chinese visitors spend less and stay for lesser periods,” said Zakir.

Last year’s Maldives visitor survey in January 2014 appeared to confirm Zakir’s point, showing that Asian tourists stayed for shorter periods of 3 to 4 days while the average stay for European tourists was between 7 and 11 days.

According to the Tourism Yearbook 2014 – published by the tourism ministry – average duration of stay by tourists is declining, from 8.6 days in 2009 to 6.3 days in 2013.

The Chinese and Russian tourist markets are two of the fastest growing in the world, with arrivals increasing by an average of 54 and 10.7 percent, respectively, between 2009 and 2013.

Adeeb has acknowledged the negative impact of the falling Russian rouble on arrivals, saying that the Maldives must diversify its tourism markets as the international arena “heats up”.


Related to this story

1.4 million figure for 2014 tourist arrivals incorrect, says Tourism Minister

US$6 green tax to be introduced from November 2015, says tourism minister

President Yameen announces development of five resorts in Haa Dhaalu Atoll

Government decides to implement a ‘green tax’ on tourists

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Bank of Maldives introduces Islamic banking services

With additional reporting by Mohamed Said Fathih and Ismail Humaam Hamid

The Bank of Maldives (BML) has introduced Islamic Banking Services today (January 22).

The service inaugurated by Minister of Islamic Affairs Dr Mohamed Shaheem Ali Saeed will be operated under the name ‘BML Islamic’ which will offer its personal and business customers with deposit and financing products.

“This is a big and proud day for our Bank,” said BML’s CEO and Managing Director Andrew Healy. “Today we start to provide alternatives to those who wish to strictly follow Islamic principles in their banking.”

“We look forward to rolling out a broad range of products and services – for both personal and business customers – over the next two years”.

Islamic banking and capital market services – compliant with Islamic Shariah – were introduced in the Maldives in 2011, with the opening of the Maldives Islamic Bank.

The Capital Market Development Authority began reporting on the Islamic Capital Market for the first time last year, while Maldives Monetary Authority Governor Dr Azeema Adam said that the industry’s potential was still being realised.

“One of the reasons for the phenomenal growth of Islamic finance is the perception that it is more ethical, compared to conventional finance, which is traditionally viewed as predatory when needed,” Azeema told the Maldives’ first Islamic banking conference last September.

BML CEO Andrew Healy

The new BML service will be provided by existing branches of the bank but Islamic bank accounts and finances will be “fully segregated from the rest of the Bank’s Services”, explained a BML press release.

“ATMs and card machines and will be fully Shari’ah-compliant, with Islamic accounts,” the statement continued, while Wadi’ah accounts can now be opened at any BML branch.

Prominent Islamic scholars have expressed their support for the move, with Dr Aishath Muneeza, Sheikh Fayyaz Ali Manik, and former Islamic minister Dr Abdul Majeed Abdul Bari all contributing to BML’s promotional campaign.

“I believe this is a service which has been much needed for the people of Maldives. This allow lot of people across the country to go about their financial transactions as per Islamic Sharia,” said Sheikh Fayyaz.

Islamic minister Shaheem today described the move as “great news for many Maldivians”, saying that “BML’s commencement of Islamic financial services, to coincide with the day Maldives embraced Islam, is a memorable occasion”.

Other recent changes to services provided by the national bank included 22 state-of-the-art ATMs across Malé in November as well as the bank’s first US dollar ATM at its main branch the following month.


Related to this story

Potential of Islamic finance yet to be fully explored in Maldives, suggests MMA governor

Maldives “ideally placed” to be international financial centre, says CMDA chief

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President Yameen urges STO to enter international markets

President Abdulla Yameen has called on the State Trading Organisation (STO) to widen the company’s scope into the international global markets.

At a ceremony held at Dharubaaruge last night to mark the company’s 50th anniversary, Yameen spoke of diversifying the company into numerous fields including the establishment of a national shipping line and operation of oil tankers, assuring the government’s support in these ventures.

“We must find ways to reduce the price of oil and to find low priced oil,” Yameen said.

Oil exploration – via the STO’s subsidiary Maldives National Oil Company – was an election pledge of President Yameen, with a German research vessel conducting oil and gas exploration research in August 2014.

Expressing his confidence that diversification into shipping would reduce costs, especially oil prices, Yameen said that the STO cannot always remain a small scale retailer.

The STO is the country’s primary wholesaler, responsible for bringing in the vast majority of basic foodstuffs such as rice and flour, as well as other imported commodities such as electrical goods

The president also warned that “managing directors of state owned companies will change if the companies cannot perform” to the required standard.

Yesterday (January 22), Ibrahim ‘Bandhu’ Saleem was dismissed from the post of Managing Director of Maldives Airports Company Limited (MACL). No specific reason was given regarding the decision.

Yameen said yesterday evening that his office was working with the treasury to audit state-owned companies in order to determine whether they are reaching set targets as well as to categorise the firms and to align their pay structures to ensure employees are paid fairly.

According to Article 212 of the Constitution the auditor general has the authority and power to audit all institutions primarily funded by the state and “any business entity, in which shares are owned by the State”.

The STO launched an austerity campaign twelve months ago, pledging to cut operations costs by MVR50 million by the end of 2014 after President Yameen had declared the company bankrupt upon assuming office in November 2013.

“Not only does STO not have dollars, it does not have Maldivian Rufiyaa either. Funding the oil import through STO is now a burden for the state,” said Yameen at the time of the announcement.

Managing Director at the STO Adam Azim said last month that the company’s debts will be paid off within three years, telling Haveeru that its US$144 million (MVR1.7 billion) debt was unprecedented, and that US$51 million had been paid off during his tenure as a result of reductions in expenditure.

Meanwhile, Haveeru yesterday published corruption allegations against Azim – the brother of recently dismissed Minister of Defence and National Security Mohamed Nazim.

The paper reported that it has obtained a copy of an Anti-Corruption Commission report which says Azim attempted to use the state-owned company’s money to influence the Football Association of Maldives’ congress.

Haveeru suggested the report revealed attempts to have a relative appointed to the post of FAM president through sponsorship money given to football clubs with voting rights in the congress.

Presidential spokesman Ibrahim Muaz said that no decision regarding the removal of Azim had been made and that relevant authorities and institutions will investigate and proceed with the issue of any corruption allegations.

Azim appeared alongside the president at yesterday’s anniversary celebrations.


Related to this story

State Trading Organisation bankrupt: President Yameen

Yameen bring changes to state institutions following Nazim dismissal

STO to pay off debts in three years

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