BML to sell Reethi Beach Resort and Mahandhoo island

The Bank of Maldives Plc Ltd (BML) has made an announcement seeking buyers for the Reethi Beach Resort and the island of Mahandhoo.

BML had seized the 120-bed Reethi Beach Resort and 87-bed Gaaf Alif Mahandhoo – currently under development as a resort – following non-payment of loans by Mahandhoo Investments and Kabalifaru Investments.

Both companies have ties to former Dhivehi Rayyithunge Party (DRP) leader Ahmed Thasmeen Ali.

The Civil Court had authorised the bank to sell the mortgaged properties in October 2009 and the rulings were subsequently upheld by the High Court upon appeal.

While the High Court decision was appealed at the Supreme Court, the parties reached an out-of-court settlement in June 2013.

BML has reportedly assigned Singapore-based Jones Lang Lasalle (JLL) to oversee the bidding process.

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Southern atolls sign pact to defend decentralisation

The Maldives’ southernmost atoll councils have signed a joint declaration calling upon the government to protect the country’s decentralised authorities.

Atoll councils from Gaaf Dhaalu, Gaaf Alifu, and Fuvahmulah, joined with Addu City Council to sign the Medheaari Declaration yesterday (December 21).

The pact, which includes measures to secure fiscal autonomy, comes after repeated moves by the central government to remove powers granted to Malé City Council under the 2010 Decentralisation Act.

“What happened in Malé, will it be repeated in the atolls?” asked Addu City Council Mayor Abdulla Sodig.

“We always have the fear that the government will come after Addu City Council after it deals with Malé City Council.”

Representatives of the four councils met in Addu City Hall yesterday to sign the six point declaration, which Sodig described as “historic”.

As part of the arrangement, the councils passed a resolution vowing that all fees collected by local authorities should be deposited in council bank accounts.

Despite provisions in the 2010 act allowing for revenue raising measures, amendments to financial legislation have yet to be introduced, meaning that fees raised by local authorities are still sent to the capital Malé.

The 2014 UNDP Human Development Report has pointed out that harmonising laws remains a key challenge facing the decentralisation transition, as well as suggesting a pressing need to reduce the size of government at all levels.

While the Maldives Inland Revenue Authority has recently established an office in Addu, the city council has refused to allow it to begin operations until it pledges not to interfere with local fee collection.

Sodig explained that Addu City Council does not currently send its local fees to the capital, though the neighbouring atoll councils still do.

The President’s Office has declined to comment on the Medheaari Declaration.

An additional point contained in the document includes sending a letter to to the Majlis saying that any amendments to the Decentralisation Act must be brought in line with the spirit of the country’s decentralisation laws.

Recently proposed amendments to decentralisation – from pro-government MP Riyaz Rasheed – called for a reduced number of local councils and to cut the salaries of all councillors except the council’s president.

At yesterday’s meeting, the councils also agreed to write to all government institutions requesting that they respect the Decentralisation Act and uphold the powers of the constitution, and its specific provisions on local governance.

The removal last week of further lands originally granted to Malé City Council prompted the capital’s mayor to condemn what he called the government’s systematic abrogation of the council’s powers.

“We are now only in charge of facilitating construction in Malé, issuing death and birth certificates and cleaning mosques. But the constitution clearly states the Maldives must be administered through decentralised councils,” said Mayor Mohamed Shihab at the time.

The southern atolls yesterday also pledged to meet annually as well as to sign a joint MoU on February 24, agreeing to work together on socio-economic issues.

The southern atolls have traditionally supported the current opposition Maldivian Democratic Party (MDP) – as is Malé City Council, which has labelled the government’s removal of its authority an attempt to destroy decentralisation.

All of Addu City’s 6 councillors are MDP members, while the party won just over 40 percent of island, atoll, and city council seats nationwide in January’s local elections. The elections commission was unable to provide information on the current distribution of councillors in Fuvahmulah, Gaaf Alifu, and Gaaf Dhaalu at the time of publication.

Previous comments from government officials have suggested that political decentralisation must follow economic development throughout the atolls.

“Land, labour, and capital – the central government and the regional governments are fighting for it as we don’t have enough resources even for the existing government to cover the budget deficits,” Minister of Tourism Ahmed Adeeb has explained.

“I believe when there’s enough economic activity we can give more powers to the councils.”

Analysts have suggested that political wrangling over the implementation of decentralised governance – which included wholesale revisions to the original act proposed by the MDP government – has left the atolls’ populations less empowered than ever.

Addu, Fuvahmulah, and Huvadhoo (containing Gaaf Alif and Gaaf Dhaalu atoll councils) currently contain 14 percent of the Maldives population.

The same three atolls declared independence from the central government in 1959, forming the short-lived United Suvadive Republic before government forces regained control in 1963.


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PPM parliamentary group leader Nihan criticises US for comments on judiciary

Ruling Progressive Party of Maldives (PPM) parliamentary group leader Ahmed Nihan has suggested the United States should look closer to home before passing comment on the Maldives’ judiciary.

While speaking at a ceremony in Gaaf Dhaalu Thinadhoo yesterday, Nihan said the majority of the countries issuing statements on the Maldivian judiciary do so without considering their domestic circumstances.

“They are afraid to talk about their own courthouses and the rights of their citizens. For example America, one of the biggest critics, is at the verge of killing black people on sight,” Haveeru has reported Nihan as saying.

“The countries which remain quiet, even as Israel continues to kill off people in the Middle East, Al-Quddus area – they are pointing their fingers at others,” he continued.

Speaking with Minivan News today, the Villimalé MP has suggested his words had been taken out of context by local media, though he defended them as being based upon facts, defending his right to freedom of expression.

Nihan’s comments appeared to refer to two recent incidents in the US in which individuals died at the hands of police officers, prompting nationwide civil rights protests.

During a visit to the Maldives this week US Assistant Secretary of State for South and Central Asian Affairs Nisha Biswal said that judicial independence is still an issue in the Maldives, despite the young democracy’s accomplishments.

The comments came just days after the removal of two Supreme Court judges by the People’s Majlis, in a move condemned as unconstitutional by both local and international civil society groups, as well as the Maldives’ Civil Court.

Numerous Commonwealth organisations said the move had “severely jeopardised” the independence of the judiciary, while the International Commission of Jurists said the “astonishingly arbitrary” decision had “effectively decapitated the country’s judiciary”.

Nihan told Minivan News today that there was no reason why the Maldives should act upon “planned and political” statements from European countries either.

The government, and President Yameen in particular, has heavily criticised the EU for what it regards as interference in the internal affairs of the country, suggesting it had prompted the Maldives to look increasingly to China as a development partner.

When asked about the impact of his comments on diplomatic relations, Nihan said that he believed that there should be no impact as Maldives has the right to defend itself from its critics in the international arena.

Meanwhile, a PPM press release on Thursday (December 18) had slammed what it termed attempts to bring the Maldives into disrepute by Jumhooree Party (JP) leader Ibrahim Gasim, who suggested that Maldives was facing international censure over the removal of Supreme Court judges.

“We’re giving a bad signal. [We are] talking about comments made about the Maldives looking at statements from America and the commonwealth,” the business tycoon was quoted as saying in local media.

Chief Justice Ahmed Faiz and Justice Muthasim Adnan were removed following the passage of government-sponsored amendments to the Judicature Act, which proposed reducing the number of judges on the apex court from seven to five.

Following ratification of the amendments by President Abdulla Yameen, the Judicial Service Commission (JSC) promptly recommended the dismissal of Faiz and Adnan, which was approved by parliament on December 14 with 53 votes in favour and 21 against.


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Health sector a top priority for 2015, says President Yameen

The 2015 budget will improve health care services in the Maldives, President Abdulla Yameen has said at the inauguration of a new wing of the regional hospital on Raa Atoll Ungoofaaru.

Identifying a lack of adequate health services on all islands as a top grievance, Yameen said his administration will not discriminate between islands or atolls in providing quality health care and will improve the country’s “severely deteriorated health sector”.

According to the 2015 budget, MVR3.4 billion (US$220 million) of the record MVR24.3 billion (US$1.5 billion) budget would be spent on health care. Of this amount, MVR3.1 billion (US$201 million) amounts to recurrent expenditure.

The opposition Maldivian Democratic Party (MDP) has criticised the lack of funds in the 2015 budget for the ruling Progressive Party of the Madlives’ (PPM) main healthcare pledges – the ‘doctor for every family’ and the sea ambulance in every atoll schemes.

The party has also highlighted the reduction of funds for medical care abroad from MVR31.3 million (US$2 million) in 2014 to MVR10.5 million (US$680,000) in 2015. The domestic health care budget was also reduced from MVR9.3 million (US$603,000) in 2014 to MVR6.5 million (US$421,000) in 2015, the party said.

Yameen said the government has now established sea ambulance services in seven atolls and employed a gynecologist in all atoll hospitals except Vaavu Atoll. He praised the availability of unlimited healthcare under the Aasandha national health insurance scheme.

On December 15, Defense Minister and acting health minister Mohamed Nazim met with Chinese People’s Liberation Army’s Special Commissioner Major General Kung Lee to discuss the technical expertise needed to establish sea ambulance services in the Maldives.

Yameen said the government’s priority is to establish a pharmacy through the state wholesaler State Trading Organization (STO) on every island. 57 pharmacies have been established this year alone, the president noted.

“If there is a pharmacy in every atoll, I find it easy to sleep at night. The government will provide the essential medicines. I am assured that citizens would get their required medicine at controlled prices,” Yameen said.

Former Health Minister Dr Mariyam Shakeela has previously highlighted the abundance of of counterfeit pharmaceutical products in the country as a challenge to the health sector.

Yameen last night said the Raa Atoll Regional Hospital, which caters to 15,000 people, will provide similar level of services available in capital Malé,

The hospital now has 12 specialist doctors as well as dentistry and dialysis units, explained Nazim.

President Yameen also criticised MDP’s rejection of the 2015 budget as “irresponsible,” and noted that Raa Atoll Alifushi MP Mohamed Rasheed had voted against the budget despite several development projects budgeted for his constituency.

“I would like to note, the MP rejected the budget despite development projects being budgeted for [the Alifushi] constituency. Citizens must know this,” said Yameen.

The MPs’ rejection of the entire budget is an indication they do not want development for their constituencies, Yameen said.

The MDP rejected the budget after the PPM had failed to back the party’s budget recommendations including allocating MVR100 million (US$6.4 million) and MVR75 million (US$4.8 million) respectively to provide subsidies for fishermen and farmers.

Other proposals included adding persons with disabilities and single parents as categories eligible for government subsidies to the poor and requiring the finance ministry to submit quarterly reports to parliament concerning the implementation of the budget.

The PPM did, however, scrap plans to impose a 10 percent import duty on staple foodstuffs and oil as advocated by opposition party.

Yameen last night said the government has built a harbour, and established complementary solar panel systems and a waste management system on Ungoofaaru this year.

In 2015, the government will establish a rainwater harvesting and storage system, build roads, renovate the football field, construct a sports arena on the island, and establish a new police station on the island, the president added.


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Thumburi Guesthouse Island invites bids for hotel development

The Maldives Marketing and Public Relations Corporation (MMPRC) has invited developers to submit bids for beachfront hotel development at Laamu Atoll Thumburi Guesthouse Island.

Plots of 5,000 and 10,000 square feet are available for 25 years. The 5,000 square feet plots are to be given out at US$ 30,000 per year with a US$ 100,000 acquisition fee, while the 10,000 square feet plots are to be given out at US$ 66,000 per year with a US$ 200,000 acquisition fee.

An MMPRC announcement  said bidders must submit documents to the Thumburi project management section at the MMPRC office at Velaanaage in Malé by February 26.

The Thumburi project was launched earlier this year with the aim of making land available on the 17 hectare uninhabited island – as well as the linked Hulhiyandhoo island – for local investors to develop hotels, a diving school, water sports centres, restaurants, and shopping centres.

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Majlis committee demands details from education ministry over deputy principals’ removal

The Majlis government oversight committee has demanded the ministry of education submit all relevant information regarding the removal of deputy principals from the schools.

Vice-Chair of the committee Maradhoo MP Ibrahim Shareef told local media that the letters demanding information will be sent today, with the ministry being given until tomorrow to submit the information. The committee also decided to summon serving deputy principals to clarify information.

The post of deputy principal has been abolished under a new organisational structure approved by the ministry for public schools. The ministry has said persons currently serving as deputy principals would be transferred to different posts in lieu of dismissal.

State Minister for Education Dr Abdulla Nazeer told state broadcaster Television Maldives last week that the change was intended to strengthen school management.

The decision came as a surprise to the 188 deputy principals in the country, with some telling media they were not previously informed of the decision, expressing shock upon hearing the news.

The opposition Maldivian Democratic Party (MDP) submitted the case to the government oversight committee, stating that the party wants to clarify the reasoning behind the decision and that the government could not dismiss civil servants without due process.

An unnamed deputy principal told Raajje.mv that they were offered two options by the ministry – either take up administrative or other relevant posts or be laid off with three month’s salary paid up front.

State Minister of Education Dr Abdulla Nazeer – while speaking to state television – said that the ministry’s aim was to eradicate the deputy principal level in the organisational structure in order to bring the principals closer to the teachers.

“The majority of the deputy principals are performing administrative level tasks at the school which should be done by administrative officers instead. We want to task the deputy principals with more academic related work,” said Nazeer.

The MDP severely criticised the government for its plans, however, stating that the decision was “inhumane” and “uncivilised”.

Speaking to Minivan News, former Education Minister Dr Musthafa Luthfee said that the government decision lacks any professional reasoning, speculating that it was taken to appoint more political figures to the ministry.

“Right now there are around 12 political figures at the education ministry therefore all the decisions regarding the education are made at a political level. This leads to problems because such decisions should be taken by educated academic professionals instead,” said Luthfee.

He also pointed out that, even though the deputy principals should have been contacted by the civil service commission regarding the issue, some were consulted through mobile phones and at cafes by political figures.

Deputy Minister of Law and Gender Aiminath Nadira said in a tweet that the decision would leave a lot of women in a vulnerable position (most deputy principals are women) and that the government needed to find a good alternative solution.

Luthfee also alleged that a circular was sent to the schools specifying that the chief guests for school-related events should only be brought after consultation with the ministry.

The MDP has also taken issue with the government’s spending plans for the education sector, which includes money for eight new political postings and over 2,000 new staff members.

Despite unrest among teachers this year, education minister Aiminath Shiham has said that the government has brought significant changes to the sector, including introducing Quran classes for the entire primary education and vocational training.

Around 90 percent of the teachers across the nation protested in September 21 by wearing black clothing to raise issues such as poor pay, inadequate  protection of teachers, and the failure to grant the Teachers Association of Maldives (TAM) official recognition.

The government avoided a full on strike at the eleventh hour after sitting down with TAM and creating a timeline in which to meet the demands of teachers.


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Mega Maldives US$99 return tickets to Malaysia sell out in two hours

Return tickets to Malaysia priced at US$99 by local airline Mega Maldives sold out in less than two hours today.

The airline told local media that 99 tickets at the promotional price sold out shortly after it went on sale at 9:00am this morning.

The promotion offered travel to Malaysia on December 26, 27, and 31 with a return date before January 20.

Customers reportedly began queuing outside the Mega Maldives office as early as 1:30am last night.

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PPM wins by-elections in Madduvari, Kondey

The ruling Progressive Party of Maldives (PPM) won by-elections held yesterday for vacant seats on the Meemu Madduvari and Gaaf Alif Kondey island councils.

According to preliminary results from the Elections Commission, PPM candidate Muhthar Mohamed was elected to the Madduvari island council with 201 votes, while the opposition Maldivian Democratic Party (MDP) candidate received 198 votes.

On the island of Kondey, PPM candidate Abdulla Shihab emerged the victor with 116 votes, followed by the MDP candidate with 73 votes, and an independent candidate with 45 votes.

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Solar panels providing 50 percent of Thinadhoo’s electricity

Fifty percent of the electricity needs on the island of Thinadhoo in Gaaf Dhaalu Atoll are now being provided by solar panels.

Roof-mounted 250kWp (kilowatt peak) photovoltaic (PV) systems were installed in the regional hospital and mosque on the island today.

Speaking at a ceremony in Thinadhoo this morning to mark the grid connection of the solar panels, Minister of Environment and Energy Ibrahim Thoriq observed that the PV system was the largest of its kind in the atolls.

Along with a 308kWp system installed earlier, Thoriq noted that solar panels in Thinadhoo could now generate 50 percent of electricity used daily.

Thoriq also noted that the Maldives was heavily dependent on imported oil for its energy needs, which was a burden on the domestic economy.

“In 2013 alone, about MVR6 billion was spent on importing petroleum products,” Thoriq reportedly said.

According to the energy ministry, the solar PV component of the ‘Clean Energy for Climate Mitigation Project’ was carried out in two phases.

The first phase involved the installation of 308kWp solar photovoltaic systems in 3 buildings, explained the ministry – Thinadhoo School, Aboobakuru School, and the Powerhouse Building. During phase two, 250kWp solar photovoltaic systems were installed in two additional buildings – the Dr Abdul Samad Memorial Hospital and mosque.

“In addition to the solar PV component, energy conservation and efficiency activities were also carried out as part of this project. In this regard, energy audits of 20 different places were conducted, which includes government buildings, private offices and households,” said a ministry statement.

Based on the findings of the audits, energy efficient inverter air conditioners LED bulbs and LED tube lights were provided to the selected buildings.

Additionally, 5,000 LED bulbs were distributed to households in Thinadhoo under the energy efficiency demonstration component.

At today’s ceremony – which was attended by Progressive Party of Maldives MPs Ahmed Nihan and Saudhulla Hilmy as well as Fenaka Corporation Managing Director Mohamed Nimal – Thoriq reiterated the government’s objective of generating up to 30 percent of electricity used during daylight hours in all inhabited islands within the next four years.

Diesel fuel currently accounts for the bulk of the energy supply in the country – about 82.5% in 2009.

According to the Maldives Customs Service, of the MVR7.2 billion (US$466.9 million) worth of goods imported in the first quarter of 2014, one-third was spent on petroleum products.

The Maldives’ 109 resorts use 49 percent of the US$470 million diesel imported into the country annually. The figure amounts to over a third of the country’s GDP. The capital Malé uses 90 percent of the inhabited islands’ energy consumption.

A 100 percent solar-powered luxury resort called Gasfinolhu is meanwhile scheduled to open for business in January 2015.


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