Aircraft makes emergency landing at INIA

A Thomson Airways Boeing 767 aircraft made an emergency landing at Ibrahim Nasir International Airport (INIA) on Wednesday morning, shortly after taking off at 10:41am.

INIA issued a statement that the
“The aircraft declared a Full Emergency after departure due to a technical fault with the aircraft avionics,” said INIA in a statement.

“Ibrahim Nasir International Airport (INIA) implemented its procedures for a Full Emergency in conjunction with Maldives National Defence Forces (MNDF), Malé Health Corporation and
other concerned agencies.”

The aircraft landed safely at 11:46am, with no harm to the 230 passengers and crew on board.

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New transport minister calls for redevelopment of airport runway

Minister of Transport and Communication, Dr Ahmed Shamheed, has criticised GMR’s plan to develop Ibrahim Nasir International Airport (INIA), arguing that it does not provide needed redevelopment of the runway.

Shamheed said there had been a temporary closure of the airport last week as a large crack on the runway was repaired.

“The development of the runway is not part of the agreement made with GMR. And the way the airport development plan is going, there is no possibility of constructing a new runway. A beautiful design can be made, but we have to consider its sustainability,” the Minister told Sun Online.

When asked to comment, Shamheed told Minivan News that he could not say anything more specific on his department’s next move regarding the repair issues.

“But we are conducting a study into the matter. Once we establish all the facts, we will brief,” said Shamheed.

“We are trying to find out how they are going to address the issue with the runway. There is no quick fix,” he claimed.

At over US$400 million the project is the largest single foreign investment ever made in the Maldives. The plan involves an upgrade the current terminal before the construction of a new terminal on the opposite side of the island of Hulhule, which the developer has pledged to complete in 2014. Ground was broken on the site for the new terminal in December last year.

The new transport minister alleged the runway was in poor condition and in need of critical repairs. An incident in 2010 saw experts from Boeing brought in to advise on such repairs after one of its aircraft sustained damage as a result of water retention on the runway.

Managing Director of the Maldives Airports Company Limited (MACL) Mohamed Ibrahim, previously responsible for the maintenance of the site, two years ago claimed that the runway had to be re-tarred every 15 years, having last been repaired in the early 1990s.

“Devious Indians”

The political opposition under Nasheed’s government, particularly the Dhivehi Qaumee Party (DQP), were persistently critical of the airport development,  with allegations ranging from corruption in the bidding process to claims that the deal would allow the airport to refuel Israeli bombers enroute to bombing Arab countries.

Then leader of the People’s Alliance (PA) and brother of former President Gayoom, Abdulla Yameen, previously described the deal as “economic enslavement.”

Similarly, the Dhivehi Quamee Party (DQP) released a booklet in Dhivehi in December 2011 titled “Giving the airport to GMR: The beginning of slavery”, warning against “devious Indians”.

In the 24 page document (download in English/Dhivehi) the DQP claimed that the agreement did not include any requirement to develop a runway and would allow the GMR group to “colonise” large portions of the economy.

“Indian people are especially devious people”, the DQP booklet claimed. “There is no guarantee at all that GMR will invest the proposed amount. There is nothing the government can do but accept what they say and the documents they provide. This is how all the companies in partnership with the government are run.”

An unattributed letter on the party’s website published at the same time as the pamphlet claimed that the Indian government, in its backing GMR’s investment, “has a choice to make.”

“Does it want its backyard to be peaceful, prosperous, and free from corruption, nationalism, and religious problems? Does it want its backyard to be a place where wealthy Indians can spend their holiday and where its investors are respected and welcomed and not hated? Or does it want to be seen as a backer and sponsor of a corrupt and despotic regime, divorced from public sentiments, as was the case of the United States in the Middle East?”

Spokesperson for former President Nasheed, Mohamed Zuhair, claimed at the time of the contract signing in 2010 that the deal with GMR to upgrade and manage the airport had clashed with the vested interests of several tycoons, including Yameen and Gasim, drawing it into the political arena.

“Gasim was concerned the new airport might take the charter flights he had intended would be landing at the new airport he is building in Maamagilli,” Zuhair alleged at the time, “while Yameen is a third party supplier of fuel at Male International Airport through the Maldives National Oil Company, which has representation in Singapore.”

“These MPs are two individuals of high net worth – tycoons with vested interests,” he explained. “In pursuing their business interests they became enormously rich during the previous regime, and now they are trying to use their ill-gotten gains to bribe members in the Majlis and judiciary to keep themselves in power and above the fray.”

“Politically neutral”

The airport’s CEO Andrew Harrison in 2011 stated in an interview with Minivan News that he was “extremely confident of standing up to any scrutiny because of the way the bid was scrutinised by the World Bank’s International Finance Corporation (IFC)”.

Harrison today declined to comment on Shamheed’s recent statement. In a previous interview, he maintained that GMR had “always been politically neutral in that our remit is solely about developing and operating the airport.”

“We respect whichever party holds the seat of government in the Maldives. The government change is a change we respect and we remain politically neutral. We’ve got a concession agreement and we are sure that any government in power will respect that agreement. We’ve not heard anything that would make us believe otherwise,” Harrison told Minivan News at a press conference in February.

The criticism culminated in a successful court case filed by the DQP against GMR’s levying of an airport development charge (ADC), a source of revenue for the company outlined in the original contract. The court decision left the Nasheed government with the obligation to pay the difference.

Several days after assuming the presidency, Dr Waheed vowed the government would not approach the deal “from a political perspective”, adding, “It is not our intention to harm GMR. Our objective will be to resolve concerns of the public [regarding the company].”

Foreign investors should not be concerned about the political upheaval affecting their interests in the Maldives, said Dr Waheed, but hinted that some investments may come under scrutiny.

“We will not target anybody for political reasons,” he said. “If there are any reasons for concern over investment, of course any steps that need to be taken will be taken.”

Since the recent transition of presidential power, many of the former government’s policies have come under scrutiny. The Ministry of Economic Development announced that all future Public Private Partnership (PPP) schemes would be put on hold, adding to fears that the political turmoil currently engulfing the country would be detrimental to foreign investment.

Former Climate Change Advisor to Nasheed Mark Lynas recently expressed his concern over this issue: “Donors will turn away because of the political instability, and investors likewise.”

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Comment: Is privatization only happening in the Maldives?

Privatization is one of the economic policies of modern governments, be it large or small, democratic or authoritarian, capitalist or socialist. Privatization is a global phenomenon. The trend towards privatization can be traced back to the 1970’s and 1980’s.

Firstly, it was President Jimmy Carter who in the year 1976 said American Administration ‘lacked administrative skills’ for the performance of daily work, which shook entire public administration and changed its traditional performance. This led to  the emergence of new approach in the discipline of Public Administration called ‘New Public Management’ (NPM) perspective.  The successor of Jimmy Carter was Ronald Reagan, who was convinced that the administration must undergo changes to tackle new problems. America was facing huge budget deficits and inefficiency, which Reagan accused as the result of the misallocation and mismanagement of public funds.
The idea which promoted privatization was that government is not the solution to the problem, but rather it is the problem to the solution.
In England Margaret Thatcher, then prime minister, was faced with similar situations. The public spending was increasing, as productivity and efficiency of public bodies were in decline. This also added fuel to the growing idea of free markets, deregulation and privatization. The government which governed least, or the ‘rolling back of the state’, was the idea behind privatization.

What about communist and socialist states?
For a long time China was regarded as an ‘inward looking’ and isolationist country. During the revolution in 1949 chairman Mao was much inspired by the writings of Marx and Lenin which led to establishment of the communist state. However in the year 1979 Chinese leadership felt it must compete in international trade to help boost their economy. Today China is regarded as the world’s second largest economy, with growth rates around 10% per year.

With the fall of the Berlin wall in the year 1991 the Soviet Union disintegrated. This marked the end of the rivalry between communist Russia and Capitalist America, and was regarded as a triumph for democracy and capitalism. This made the whole world believe that democratic states are the best states and capitalism is the best economic policy. To perpetuate the idea of capitalism and democracy which favored privatization, international institutions such as IMF, World Bank and WTO promoted ‘Washington Consensus’ in the interest of the West.

It is also interesting to note that the so-called socialist state of Cuba, under the leadership of Raul Castro, talked in favor of privatization. Cuba planned to layoff half a million state workers stating that too many workers with low productivity burdens the budget.

The Indian case
Indhira Gandhi was the champion of Indian socialism during the 1960’s. The word ‘socialist’ was added into the Indian constitution to direct its policies towards socialism. The nationalization of 14 Indian banks and its coal industry came when socialism in India was at its peak. However India entered into a debt trap by the end of 1990’s because of excessive wasteful public expenditures and inefficiency in the public sector. Therefore India adopted the new economic policy Liberalization, Privatization and Globalization (LPG) in the year 1991 under the leadership of the then finance minister Manmohan Singh.  Today India is regarded as one of the major emerging economies of the world with the growth rate of around 8% per year.

The Maldives
Privatization of the Maldivian economy has been a hot topic since 2008, with the arrival of the first popularly elected government under the leadership of Mohamed Nasheed. Since this government came into power one of its economic policies has been privatizing the economy. The sale of Male’ International Airport to Indian company GMR was one of the very first steps in this direction. As Maldives tries to expand its tourism sector the need for a modernized airport and efficient management arises to compete with its counterparts, such as neighboring Sri Lanka. The airport was not developing enough to compete and give decent service to the tourists. The airport remained as it was without a major improvement in infrastructure.

In the upcoming year the current government has decided to privatize 5 more companies. This includes STELCO, Maldives Post Limited, Island Aviation, Housing Development Corporation and Maldives In-Flight Catering. However the privatization of these 5 companies was rejected by the parliament, which stated that it violates Maldivian financial laws.

There were plenty of objections to privatization in England and the US during 1980’s, protests in India during the 1990’s and also in Maldives since 2009 against the idea of privatization. I acknowledge the protestors also have points to prove, such as the private sector‘s objective to maximize its profit at any cost and the widening of income disparities because of private sector.  I shall talk about the process and defects of privatization in another occasion.

Therefore the idea of privatization is a global phenomenon and is happening in most countries in the world. It is happening because of inefficiency, delay, corruption, red tapism and nepotism in the public sector, in the interest of delivering results the people expect.

What comes to mind is a couplet written by English poet Alexander Pope. He wrote, “For forms of government let fools contest; whatever is best administered is best.” Therefore it is very clear that whether it be a democratic, authoritarian, socialist or communist government, at the end of the day if that government is not able to administer and live up to its promises, then that government will lose popularity.

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GMR hosts groundbreaking ceremony for new terminal

Indian infrastructure giant GMR on Monday hosted a groundbreaking ceremony on Hulhule’ for the new terminal of Ibrahim Nasir International Airport (INIA).

President Mohamed Nasheed, GMR Chairman G M Rao, Malaysia Airports Managing Director Sri Bashir Ahmad and assorted officials dug the first hole for the new terminal in front of journalists both local and Indian.

Aircraft belonging to local airlines flew overhead, with seaplanes from Maldivian Air Taxi and Trans Maldivian Airways dropping flowers onto the newly-reclaimed land.

Addressing the gathered dignitaries, officials, journalists and GMR staff, Rao said the company was conscious that INIA was the gateway to the Maldives.

Thoughout the ages the development of human civilisation had been spurred by transport links, Rao said, promising that the new airport would be a hub for economic development and modernisation.

“Since we have come here the love and affection of Maldivians has been of great comfort to us,” Rao said. “As an infrastructure developer GMR is the custodian of the asset it builds, while the asset belongs to the nation and its people. For the last year, we have fulfilled every one of our commitments to the government of the Maldives, and we intend to respect and fulfill every remaining commitment.”

Dehli Airport was ranked 101 in quality in the 40-50 million passenger category by the Airports Council International in Geneva when GMR took it over, Rao said. “Now it is ranked number four. And soon after completing the new airport at Hyderbad, it was ranked first in the 5-15 million passenger category.”

The bidding process for the airport, which has been attacked by opposition parties in the Maldives, “was awarded in a transparent manner in collaboration with the International Finance Corporation (IFC) of the World Bank,” Rao said.

“It was a tough global competition, and [the bid] was finally awarded to GMR. It is a privilege to be entrusted with the responsibility for developing the airport, and GMR promises to deliver the airport well with the timeline.”

GMR had begun sending batches of 29 local employees every two months to India for on-the-job training, he said, and had committed to sponsoring 10 students every year to study engineering disciplines in India.

During the political crisis in Egypt earlier this year, “GMR safely transported 160 Maldivians from Bombay to the Maldives in a special aircraft, after they were evacuated from Egypt,” Rao said.

The company had also taken four teachers from Iskander school to India to see best practices in education, Rao said, adding that there were “various other initiatives in the pipeline.”

“Whatever the challenges, we are committed to delivering the promise we have made to your nation. GMR will find solution to every problem,” he said.

In his own address, President Nasheed said he wished to assure GMR that the government was “200 percent behind your contract, and every single other contract the government has signed with any other foreign party in this country. Not just contracts signed by our government, but also contracts that any ruler of the Maldives has signed with any party. We will honour it.”

The opposition aligned Dhivehi Qaumee Party (DQP) recently filed a successful Civil Court case against the government claiming that GMR’s charging of a US$25 airport development charge for departing passengers, as stipulated in the concession agreement, was illegal. GMR took a stock price hit on the Mumbai stock exchange following the announcement.

GMR was also the subject of protests last weekend and a proposal in parliament for local businesses to be “defended” from the airport developer. The Alpha MVKB duty free shop at the airport was forcibly vacated by GMR and Customs officials eight months after GMR’s original notice. Rulings from the Civil and High courts upheld GMR’s right to terminate the shop’s contract, however company CEO Ibrahim ‘MVK’ Shafeeq launched the protest under the slogan ‘Go GMR Go!’.

Speaking to Minivan News, Rao said that the ADC was part of the agreement with the Maldives, and noted that President Nasheed had said the government would honour the agreement.

As for the stock market impact, “We are not working for the stock market, and we are very confident in the government of the Maldives.”

He noted that the developer had had similar experiences with unhappy concessionaires when redeveloping Delhi Airport, and that this was part of the transition process that would be vindicated when the new terminal was opened.

President Nasheed meanwhile also addressed the gathering in Dhivehi, stating that it he wished to impress upon his people “the magnitude” of the occasion in their language.

There were, he said, “people [in the country] who want to go back to the time when the islanders remained locked in their islands, with no [communications or transportation network].”

If the citizens wanted to have the development they desired, Nasheed said, “we have to be connected and think broadly, take ideas outside our islands, outside our atolls, and outside the borders of the Maldives.

”Today you all have heard about the death of the North Korean leader, Kim Jong Il – that is because you are connected to the outside world.”

“No sincere person” could speak out against developing the airport, Nasheed said.

“More than one million tourists visited the Maldives this year to spend their holiday on the beach – that beach is what we sell in the Maldives. But many years have passed since this airport was first built, and day by day the need to improve the airport and its services has kept increasing.”

Arriving tourists were spending in some cases over US$1000 per night for a bed, and should enter the country through an adequate airport, he said: “the tourists begin their holiday at the airport.”

Nasheed expressed surprise at the hostility to the airport development charge, noting that only a few Maldivians frequently travelled outside the country.

“Why should anyone be worried about paying US$25 to develop the airport from the money they spend on their weekend in Sri Lanka?” he asked.

He noted that the Maldives had always welcomed foreign investors, and that there was no harm in them doing so.

“The gov understands the need for foreign investment and we are aware of the role that foreign investors play in development of this country,” Nasheed said.

“A fair amount of our assets are foreign owned, even now, and today I am happy to say we are again increasing our list of assets by one with the groundbreaking ceremony we are having today.”

The new terminal is due to be completed in June 2014, and will be run by GMR under a 25 year concession agreement extendable for a further 10 years. GMR holds a 77 percent stake in the venture, with the remaining 23 percent held by Malaysian Airports Holdings Berhad (MAHB). The US$400 million project is the single largest foreign investment in the history of the Maldives.

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Opposition calls for no-confidence motion against Economic Minister over ADC

The opposition has announced it will forward a no-confidence motion against Minister of Economic Development, Mahmoud Razee, for handing the airport to Indian infrastructure giant GMR.

The Civil Court last week ruled against GMR in a case filed by the Dhivehi Qaumee Party (DQP), challenging its right to collect a US$25 (Rf385.5) Airport Development Charge (ADC) and US$2 (Rf30.8) Insurance Charge from January 2012.

The DQP had claimed that a pre-existing Airport Service Charge (ASC) of US$18 (Rf277.56) invalidates the ADC, which was specified in the concession agreement signed with the government last year.

GMR shares on the Mumbai stock exchange fell 7.57 percent on the day of Civil Court ruling, which could potentially leave GMR facing an annual US$25 million shortfall, India’s Economic Times reported.

“GMR has been permitted to collect ADC and Insurance charge under the Concession Agreement signed between GMR-MAHB, Maldives Airport Company Limited (MACL) and The Republic of Maldives (acting by and through its Ministry of Finance and Treasury), and as such has set up processes for ADC collection from 1st January 2012 supported by an information campaign to ensure adequate awareness,” the company said in a statement following media reports of the ruling.

Villufushi MP Riyaz Rasheed alleged today challenged the legally of Razee’s signing of the document, claiming that it allowed GMR to “unlawfully tax” passengers, and claimed he was responsible.

Haveeru reported that the opposition parliamentary group allied against Razee included MPs from the Dhivehi Qaumee Party (DQP), Progressive Party of Maldives (PPM) and several independent MPs.

Razee said he was “waiting for the  awaiting the motion to be duly processed.”

“There’s nothing wrong or illegal about [the contract]. It’s up to the MPs to deliberate and decide what is to be done,” he said. “If there was anything illegal, then MPs should have had a look at it when it went through the Majlis. There were some issues that were sent to the Anti-Corruption Commission (ACC), which looked into it and things moved forward.”

Following the civil court ruling last week, President Mohamed Nasheed’s Press Secretary Mohamed Zuhair said he believed the government was obligated to appeal the ruling in the High Court. However neither Zuhair nor the Attorney General were responding to calls at time of press.

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Civil Court rules airport development charge invalid as GMR opens airline office complex

GMR today opened a new Airline Office Complex beneath the International Terminal in a step towards consolidating check-in and security procedures for passengers.

The Civil Court has meanwhile ruled against GMR in a case filed by the Dhivehi Qaumee Party (DQP), challenging its right to collect a US$25 (Rf385.5) Airport Development Charge (ADC) and US$2 (Rf30.8) Insurance Charge commencing January 2012. The DQP had claimed that a pre-existing Airport Service Charge (ASC) of US$18 (Rf277.56) invalidates the ADC. The legal dispute with DQP could cost GMR Infrastructure US$25 million annually, India’s The Economic Times estimated.

The Civil Court today ruled that the clause in the concession agreement with GMR violated the Airport Service Charges Act of 1978, which was amended in 2009 to raise the charge to US$18 for foreign passengers and US$12 for Maldivians above two years of age.

Judge Ali Rasheed Hussein ruled that the Airport Development Charge and insurance charge were service charges “under other names.”

He noted that the Airport Service Charges Act had been amended seven times to raise the charges since 1978 by the legislature, “based on the economic circumstances of the Maldives and the means of the public,” which showed that the purpose of the law was to ensure that enforcement agencies did not have the authority to raise the charges.

President Mohamed Nasheed’s Press Secretary Mohamed Zuhair said the government would likely appeal the lower court’s ruling given its contractual obligation to GMR.

“The government will do everything it can to adhere to the concession agreement,” he said.

GMR has not yet issued a formal response following the Civil Court ruling. However speaking today prior to the ruling, INIA CEO Andrew Harrison told Minivan News that GMR was “delighted to be subject to scrutiny, and will stand up to it.” He said the company was confident in its concession agreement with the government.

Harrison called the allegations and public criticism of GMR “unfair.”

“A lot has been done here,” he said, pointing to the number of renovations completed in the past six months. “I think you can see that locals and tourists are now getting the upgraded facilities befitting an airport like INIA.”

Harrison added that the next six months will see five new food and beverage facilities in international, domestic and land-side areas; a plaza for tourist arrivals; six new air service buses; and the beginning of a new terminal. “Many of these improvements go well beyond the concessionary agreement we have with the government,” said Harrison.

“It’s important to align the airport with passenger expectations, whether their destination is a resort or the warm welcome of a Maldivian home.”

At an event earlier today the company unveiled 30 new airline offices on the first floor next to Immigration.

“The old offices were small and since they were on the first floor rather than the ground floor, they were harder to access for passengers,” noted Harrison.

Airline personnel now have direct access to check-in counters from “some of the best offices in Male'”, situated along a bright white corridor.

The complex hosts four carriers with approximately five airlines per carrier; a few spaces have been left available for additional airline partners, such as Air France and AlItalia, which are expected to begin service to the Maldives in the next few months.

Harrison pointed out that the real reason for building a new complex was to centralise security check-points. Currently, security check points are located at gates one through three, and four through six. Passengers often face a queue, and are consequently more stressed about making their flights, Harrison explained.

“Now, that space is freed for all security check-point equipment to be located right next to Immigration, making passenger traffic smoother and allowing for more time in the airport terminal rather than in queues,” he said.

Harrison added that situating Immigration and Security offices in close proximity was a standard feature of international airports.

GMR is currently overseeing the renovation of INIA, as per a contract with the Maldivian government. In the past six months it has upgraded two lounges and expanded baggage beltways; it is currently adding eight check-in counters and two security lanes. Tourism Minister Maryam Zulfa previously expressed satisfaction with GMR as “an example for the Maldives as it moves forward.”

A groundbreaking ceremony for the new terminal will be held later this month – the structure is due for completion in 2014.

Maldives Airports Company Limited (MACL) today announced that the lease agreement between GMR and the government allows for a 10-year extension from the initial 25 year time frame, pending the agreement of both parties.

GMR began circulating the Airport Source Quality program survey in October to evaluate INIA’s ranking among 34 airports in the two to five million passenger category. The airport initially ranked 33rd, but Harrison said improvements are visible.

“In December alone it has already moved up three airports. By the time the new airport opens, we are convinced that INIA will be number one in the two to five million [passenger] category,” he said.

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GMR to begin charging US$25 development fee to departing passengers

GMR will begin charging international passengers a US$25 (Rf385.5) Airport Development Charge (ADC) at the departure check-in counters of Ibrahim Nasir International Airport for all flights scheduled after 12 am on January 1, 2012.

The fee was previously approved by the government as part of its contract with GMR, said State Transport Minister Adil Saleem.

“This is supposed to be standard procedure in most airports, but I’m not sure that all airports do it. It may depend on their development status. Sometimes it’s collected with the ticket price,” said GMR Head of Corporate Communications Mahika Chandrasena.

To incorporate the fee into ticket prices, International Air Transport Association (IATA) must provide a specialised code to airlines. IATA has not provided these codes.

Local airline operators allegedly informed GMR last week that without IATA’s permission they could not charge the fee internally.

Administrative Manager for Maldivian Airlines Ali Nashad Ahmed said the airline was “still seeking advice from Civil Aviation on how to proceed” with fees and customer relations due to the change. The airline expects to receive further instructions within the next week.

According to Chandrasena, the mechanism to incorporate the fee into ticket prices will be installed in the near future. Until then, GMR will charge the fee separate from airline tickets as per government regulations.

Immigration and customs authorities have supported the move, said Chandrasena, although the public is disgruntled at the higher price. “The fee is actually low compared to other airports,” said Chandrasena. “In Indonesia the fee is somewhere around US$50.”

Deputy Director General of the Civil Aviation Department Hussein Jaleel today said he didn’t know why IATA had refused the code, but that the department was recommending that the fee be charged at point of sale.

“It is more convenient for the passengers,” he said. “Some airports charge the fee separately, so this not peculiar to the Maldives. But our recommendation is to include the fee in the ticket price itself, so passengers only have to make one payment,” Jaleel said.

All passengers except those holding Maldivian passports and work visas will be expected to pay the amount in US dollars. The boarding pass will be issued after payment.

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Maiden flight lands at Fuvahmulah

Fuvahmulah’s newly completed airport was inaugurated today when a Dash-200 aircraft from Island Aviation landed at approximately 3.35 pm.

Witnesses of the event said those gathered to watch the landing were filled with joy and excitement, and may took photographs.

The airport, which measures some 1,200 metres in length and 30 metres in width, is expected to receive license to officially start operations within 2-3 days.

According to Mikal, a Fuvahmulah online magazine, Island Aviation’s Managing Director Ibrahim ‘Bandhu’ Saleem said scheduled flights would begin operations within the first week of next month.

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Addu grows roots with SAARC preparations

“This is the foundation of Addu’s development,” said Addu’s mayor Abdullah Sodiq, referring to the city’s SAARC preparations during a press conference held in Hithadhoo yesterday. He said the projects had been supported by “99 percent” of Addu residents.

Maldivian media was flown to Addu yesterday to observe preparations for the upcoming 17th annual SAARC Summit, scheduled for November 10-12. Festivities will be held in the area starting on the first of the month, in conjunction with the Muslim holiday of Eid.

“We are expecting a lot of traffic through here, and are confident that everything will be ready in time,” Sodiq said. “But this is only the beginning, and we have many more plans for development.”

Addu’s SAARC projects have been underway for six months, officials report. As the deadline approaches, construction teams are working round the clock to finish two harbors, a VVIP lounge, roads and the country’s largest convention center.

Sodiq said the harbors will renovate Addu’s commercial prospects, while the convention center provides new opportunities for locals, officials and foreigners alike.

Construction of Feydhoo harbor continues as the first deadline passes and another approaches.

“The harbor is a central place for Addu, there is demand for it even after SAARC and we have plans to generate more industry and shipping using these new resources,” said Sodiq.

New roads constructed around the convention center have made future road development less expensive for the council’s budget, he added.

Addu’s council also plans to use the Rf115 million convention center, a two-story building of glass, wood and marble with a capacity of 3000, to transform the atoll from a quiet place to a hub of business and tourism.

“We have some representatives talking to businesses in Singapore and Malaysia about hosting events here,” Sodiq told Minivan News. “We will be soliciting bids to find the right event manager to look after the convention center as well. I think there are people interested in what Addu has to offer, and I’m sure we can get a market for it.”

Officials and locals interviewed also hinted at hopes for musical events, theatrical performances, art exhibitions and holiday celebrations.

Ministry of Tourism, Arts and Culture Assistant Director Ahmed Abeer Ismail said the centre’s origins were a sign of Addu’s potential. “That area began as a swamp, now it’s the biggest convention center in the country.” The swamp was heavily landscaped by MNDF and police forces, and now features a few scenic islands.

One of the Maldives’ most strategic atolls, Addu has been largely left to seed since the British withdrew its forces and influence in 1975. City councilor Ahmed Mirzad called SAARC the beginning of a new Addu.

“For 30 years we had Gayoom, and nothing was done in Addu. Then there was a new president, and unlike Gayoom he didn’t just look after Male’, he looked after the entire Maldives. For 30 years we didn’t even have one harbor that was working for Addu, but in the past six months, we have gotten everything,” said Mirzad.

Addu’s councilors were elected for the first time six months ago. Mirzad said the next three years will be a difficult but critical time for the council to prove itself to Addu’s people. Still, the timing is ideal.

“I don’t think, I know that this summit is the right starting point. Now, we will only keep going with our plans to grow,” he said.

Workers cross a newly-constructed road to continue landscaping across from the convention center.

One particular operation illustrates the grassroots motives behind the SAARC preparations. Selected from Maldives National University (MNU) Addu first-year students in hospitality, 24 Media Liaison Officers greeted Male’s press pack yesterday.

One young woman said the event was as much for the liaisons as for Male’ press.

“It’ll be challenging to handle foreigners and media personnel,” a group of students concurred. “But we are so happy to have this opportunity.”

“I was shocked to be asked to take part in SAARC, I never thought that I would get to work at something I’d heard so much about,” said another student. “And the certificate of reference that I’ll get afterwards will be really helpful for me when I’m looking for a job after graduation,” she added.

Liaisons have just completed a six-month management course and are attending seminars and briefings for SAARC. They will be divided into 11 teams of two to three officers and assigned to press pooles from different countries.

“The ministry was going to get people from Male’, but I suggested we use the local energy. They are good, they can do the job, and this is a key event, so why shouldn’t these students take part?” said Abeer.

Addu’s development isn’t only tailored to foreigners; Sodiq said part of the development plan is to bring Addu residents home.

“Unlike other islands, we have historical places to visit and our islands are connected, so tourists can actually see more than the sun, sand and sea. We will be constructing more lodgings as well, and our hospital and airport are going to be expanded. More business means more jobs, and part of the purpose of all this is to bring Addu citizens back after their migrations to Male’,” he said.

In Addu, infrastructure is a priority for community growth. Noting that education was key to development, Sodiq said that a Kangaroo school is scheduled to open next year, and a Billabong school is being considered.

For the moment, however, Addu’s mind is on SAARC.

With teams working around the clock to complete harbors in Gan and Feydhoo, and MNDF motorcades practicing their moves late into the night, Addu is a bustle of construction and security.

Both harbors were originally due for completion on October 25, yet concrete foundations have not yet been laid. However officials assure that they are 90 percent complete. When asked about setbacks, National Security Advisor Ameen Faisal said, “The weather. Due to heavy rains, many projects were delayed. It was unexpected and beyond our control, but we managed and we are on target.”

Inquiries of Addu’s appearance for SAARC yielded few details. “It’s a secret, we want it to be a surprise,” Faisal and Sodiq concurred.

Security, however, is highly detailed.

MNDF has delegated security teams to specific event components including media, medical, resort transport, and the airport. “Right now we are very confident in our security personnel and do not anticipate any problems during the SAARC summit,” said International Media Coordinator Ahmed Ibrahim.

Ibrahim added that “it will be helpful to have the extra security forces that other countries are providing because Addu is very big.” In addition to ground security, MNDF will be supported by the coast guard, which will establish multiple security layers around Addu’s marine perimeter, special task forces from Sri Lanka, and surveillance equipment from China, among others.

Summit guests include three of the world’s most controversial heads of state from India, Pakistan and Afghanistan. Their reputations do not appear to cause anxiety to SAARC officials.

“They will not receive any special treatment, unless requested of course,” said MNDF Commander of SAARC Airport Security, Ahmed Shafeeq.

“There is no risk at all,” said Faisal. “We aren’t even bothered about it.”

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