Bangladesh embarrassed by Maldives’ decision to deport workers: Financial Express

Dhaka-based newspaper the Financial Express has published an editorial stating that the decision of the Maldivian authorities to deport illegal Bangladeshi nationals “should be considered quite embarrassing for Bangladesh.”

“However, the incidence of deportation of illegal Bangladeshi workers from the countries of the Middle East, South East Asia and Europe is not infrequent. It does take place within or beyond the knowledge of the authorities concerned in Dhaka. But the issue of deportation is neither taken seriously nor does it give rise to any feeling of embarrassment here.

“According to the Maldivian foreign minister, the number of Bangladeshis in his country is around 50,000 now and one-third of them are either working or staying there illegally. The minister has urged Dhaka to take appropriate steps to stop illegal migration to the Maldives, which, he said has become a thriving business for unscrupulous manpower recruiting agencies.

“Remittances coming from such illegal workers has been not without a cost. The illegal workers, who generally enter carrying tourist visas and overstay, are not liked by the authorities of the countries where they are employed. This has created a sort of image problem for Bangladesh in the outside world.

“The issue of illegal Bangladeshi workers loudly indicates two factors – lack of employment opportunities at home and highhandedness of the unscrupulous manpower agents.

“The government, however, if it desires so, can, at least, deal with rogue manpower agents who lure unsuspecting unskilled workers and send them abroad with false visas or work permits. Such illegal workers do always remain vulnerable to police torture and many other dangers.

“Death stalks them while they try to enter countries in Europe or Southeast Asia illegally using sea or land routes. But the authorities here other than cancellation of a few licences have done nothing to mete out strong punishment to evil manpower agents. Exemplary punishment, it is felt, would help curb the sending of workers abroad with forged documents, to a large extent.”

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Chinese-Indian rivalry strikes Maldives: Jakarta Post

The May 28-31 visit to the Maldives by the most senior Chinese official ever to visit the Islamic archipelago-nation went largely unreported in the Western media, writes Sergei DeSilva-Ranasinghe for the Jakarta Post.

“The significance of the visit by Wu Bangguo, Chairman of the Standing Committee of the National People’s Congress, underscored the increasing importance of the Maldives to China’s regional strategic calculations.

China and the Maldives first established diplomatic relations in 1972. Since then, relations have gradually developed. More recently, Indian policy analysts referred to China’s soft power rise throughout South Asia as a “creeping expansionism”. They went so far as to accuse China of harboring ambitions to set up a submarine base facility in the Maldives.

For instance, in 2005, Indian commentator, A.B. Mahapatra, asserted that: “China has engineered a manner of a coup by coaxing Maldives’ Abdul Gayoom government to let it establish a base in Marao”.

Marao is one of the largest of the 1192 coral islands grouped into atolls that comprise Maldives and lies 40 km south of Male, the capital.

[Minivan News unsure to which island this is referring, as no such island is listed in the Maldives]

Scientists warn that global warming is pushing up ocean and sea levels. They fear that most of Maldives will be submerged by year 2040. Marao may be one of the few large islands that may survive.

“And even if it goes under water”, said a naval official, “it will be ideal for submarines.”

In February 2001, a small delegation from Pakistan visited Maldives to boost cultural ties. “The Pakistanis put pressure on Male to facilitate Chinese plans for a naval base,” said an official. “China used Pakistan to play the Islamic card with Maldives. But the Marao base is not expected to be operational until 2010.”

President Gayoom ruled the Maldives for around 30 years. Following his election defeat in November 2008, his successor, President Mohamed Nasheed, has shown greater willingness to accommodate Indian interests.

As reported widely in the Indian media in late 2009, the Maldives acceded to India’s request to deploy 26 coastal radars to monitor its territorial waters.

“India is not trying to influence us. We wanted the radars. A lot of biomass poaching (poaching of fish and corals) happens in the area. So does a lot of illegal commercial fishing,” President Nasheed said.

Latterly, it transpired that India’s coast guard and naval vessels would patrol the Maldives’ territorial waters and exclusive economic zone, and a private Indian company was contracted to refurbish the former British Gan Island air base for use by Indian reconnaissance and surveillance aircraft.

Trade in minerals and energy, worth many billions of dollars annually, passes near the Maldives, which is strategically located astride the major sea lanes in the Indian Ocean. It is hardly surprising therefore that former Indian diplomat Kuldeep Sahdev mentioned: “It is a country of immense strategic importance to us.”

Historically, India has long seen the islands as within its sphere of influence and has sought to underwrite the security of the Maldives.

This was demonstrated in November 1988, when heavily armed ethnic-Tamil militants staged a coup to oust President Gayoom, but were rapidly intercepted and neutralized by expeditionary forces dispatched by India.

More recently, in February 2011, President Nasheed made a tour of India to enhance cooperation in trade, investment and security, and chose to use the opportunity to reiterate his pro-India stance.

“Maintaining balance in the Indian Ocean is very important. There is not enough room in the Indian Ocean for other non-traditional friends,” he said. “We are not receptive to any installation, military or otherwise, in the Indian Ocean, especially from un-traditional friends. The Indian Ocean is the Indian Ocean.”

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Limitless money-changing licenses allow resorts to manipulate foreign currency market, says MMA source

Resorts in the Maldives are using their money-changing licenses to operate as defacto banks, creating an artificial demand for dollars that is undermining the government’s efforts to stabilise the economy, an informed source in the Maldives Monetary Authority (MMA), has claimed.

Figures from the country’s central bank show that of the country’s 306 licensed money changers, 95 are resorts while 211 are private.

The present system allows resorts to exchange unlimited amounts of currency, weakening the flow of dollars into the official banking system and allowing resorts to manipulate the market, the source claimed.

“Small resorts are operating like private banks, trading in rufiya and using cheques to do so in any amount of money, with no oversight from the banks or the MMA,” he said.

As a consequence, the government’s recent decision to float the rufiya within 20 percent of the pegged rate of Rf12.85 was unlikely to stabilise the currency until the underlying demand for dollars was addressed.

“The black market rate for the dollar was Rf14-15 before [the government’s decision to devalue the currency]. The reasoning is that now the official rate is Rf15.42, there shouldn’t be a black market. The fact that the black market rate is now Rf16.5 suggests this is not a problem with the economic fundamentals, but a problem of people manipulating the market.”

The source suggested that even if the market was given free reign and the rufiya reached Rf20 to the dollar, “resorts would still have the power to set the parallel market at Rf22.”

The source revealed that during its recent visit to the Maldives, the International Monetary Fund (IMF) had recommended that resort money-changing licenses be limited to changing cash, making it physically impractical to manipulate the market with large sums of money.

The theory, the source explained, was to force resorts to use the local banking system for foreign exchange and increase the flow of dollars through the official economy.

Most resorts presently charge customers in dollars (mostly via credit cards). With most large resorts banking overseas in financial hubs such as Singapore, beyond a fee taken by a local credit card operator such as Cyprea or the Bank of Maldives, very little of this passes through the Maldivian economy – approximately US$13 for every US$100 spent in the country.

“No other country allows another currency to divide the market,” the source said, noting that resorts earned 80 percent of the country’s foreign exchange.

“The taxis at Colombo airport are not permitted by law to accept US dollars, but here every corner shop does. There is a need for exchange control – our monetary regulation is from the 1980s and fits on a single piece of paper. You can see the problem.”

The MMA recently announced the enforcement of legal tender – rufiya – which will require a foreign currency transaction at the point-of-sale. Were resorts restricted to exchanging money by the physical limits of cash, they would be effectively be obligated to feed dollars into the local banking system, thus increasing the availability of foreign currency and greatly reducing the dollar shortage, the source suggested.

The Seychelles encountered similar problems with its exchange rate in late 2008, the source said, providing an IMF document showing that the country’s official exchange rate of 8 rupees to the dollar in late 2008 competing against a black market exchange rate of almost 14.

Following the Seychelles’ decision to float its currency, the rupee shot up to almost 18 to the dollar, but plunged to 10 a year later before eventually settling at 12.

Were foreign exchange controls passed in parliament and enacted, the Maldives could expect the dollar situation to stabilise “in less than a month”, the source predicted.

“This is why ministers are claiming the rufiya can potentially reach Rf10 – although if that stimulates excessive imports it is not necessarily a good thing.”

Reaction

Local economist in a private consultancy Ahmed Adheeb said the Maldives’ economic situation was as much a problem of over-expenditure and high budget deficit.

“Successive IMF reports have raised real problems with the country’s expenditure,” Adheeb said. “You cannot just blame the resorts for manipulating the market.”

Low confidence in both the rufiya and the local banking system was a major concern, he explained, and forcing businesses into it could have wider ramifications.

“We have to build confidence in the financial system, otherwise we will just see black market banks emerge. Businesses need to be confident that their accounts will be protected and confidential, and that this will not be abused for political reasons,” he said.

“For instance, nowhere does a country’s Auditor General state a bank client’s name and debts in [publicly available] audit reports.”

The limited number of cross-currency transactions in local banks showed there was no confidence in the country’s financial system, Adheeb said, as businesses that banked in rufiya could not be confident of receiving dollars when required.

“The Finance Minister needs to provide reassurance that our banks are protected and regulated, and give confidence to businesses that bank confidentiality will be respected. In a small society like this, we have to listen to the entrepreneurs.”

Secretary General of the Maldives Association of Tourism Industry (MATI), ‘Sim’ Mohamed Ibrahim, said all resorts needed a foreign exchange license, and questioned the practicality of both enforcement and restricting these trades to cash: “Even small resorts trade in high volumes,” he said.

The government has meanwhile submitted five bills on taxation to parliament, part of an IMF-sanctioned economic reform package it hopes will radically boost the country’s earnings in future years.
The four bills include the General Goods and Services Tax Bill, Business Profit Tax Bill, Income Tax Bill, an Amendment Bill to Tax Administration Act and an Amendment Bill to the Maldives Import Export Act.
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Resort giant rejects dismissed local workers’ allegations of foreigner bias

Hospitality giant Conrad Hotels and Resorts has rejected accusations concerning its treatment of a group of Maldivian workers made redundant earlier this month at its Rangali Island Resort, claiming the site adheres to both company and Maldivian labour laws when dealing with staff.

Responding to accusations made by a group of 29 staff that resort management recently decided to make redundant over concerns about profitability during the low season, Conrad claimed all its staff were treated “fairly” regardless of their ethnicity.

The group of staff dismissed this month by the company have alleged that whilst working at the Conrad Rangali Island Resort, they witnessed multiple examples of Maldivian workers being discriminated against in favour of expatriate workers of other nationalities. The group claimed that some staff were additionally made to flout expiry dates and other quality standards by management figures.

Some of the allegations reflect wider concerns about the treatment of Maldivian staff across the country’s resort industry, says the Tourism Employees Association of Maldives (TEAM), which it claims varies significantly in comparison to other countries.  The group claimed that these discrepancies may, in some cases, verge on being “racial abuse”.

Not singling out a particular resort for the practices, TEAM told Minivan News that it believed there were widespread discrepancies in the treatment of Maldivian resort staff in areas such as payment compared to resort workers of other nationalities.

“There are bigger concerns regarding some of these issues – particularly we see there is some salary discrepancy between Maldivian staff and other employees,” claimed TEAM President Ahmed Shihaam. “Right now however, we are focusing on more prominent concerns such as the possible introduction of a national minimum wage.”

The group of workers dismissed from Conrad this month claimed that they believed they had been removed from their positions for demanding action on issues involving site management and staff.  The workers were dismissed with redundancy packages, according to Conrad.

According to the group, management figures had threatened to fire members of staff for their role in trying to raise the issues, which they claimed were linked to strikes taking place at the resort over several days in March of this year.

“There is a lot of discrimination going on in the island, foreigners are more favoured than Maldivians, they earn more, have luxurious rooms to sleep and everything is so perfect for them. We sleep 10-15 men in a room, while foreigners sleep maximum three in a room,” a dismissed former worker at the Conrad resort told Minivan News. ‘’It is very regrettable that we are being mistreated and enslaved in our own country.”

The spokesperson for the group claimed that none of the staff who were given redundancy by the company had deserved to be removed from their posts; having tried to ensure that the “high standards” expected of the resort were being met.

One member of the dismissed group who worked in the resort’s house keeping department alleged that human resources officials at the site turned a blind eye when some staff failed to properly wash towels beyond soaking them in water, drying them off and throwing them onto an office floor.

‘’One day when I was at the house keeping office I was told to wipe out the expiry date of all the mouth wash bottles that has expired,’’ the person claimed. ‘’I told the house keeper that he can’t do that, but I was forced to do it if I wanted to work there.’’

Amongst a list of accusations, the dismissed staff claimed that some senior management figures had  abused their roles by arranging to have the resort’s high-profile underwater restaurant dismiss confirmed bookings so as to accommodate a private dinner for a senior resort employee.

The spokesperson for the group claimed that the company was aware of the restaurant closure, as well as a number of policies it claimed breached rules on safety and employment regulation.

‘’[Local staff] have to test wine, which it violates the Tourism Act. It is also not allowed to have a Maldivian as a barmen, but currently there is a Maldivian barmen at the island,’’ he alleged.

The group’s spokesperson alleged that he and his colleagues had also been asked to open a number of expired yoghurt containers in the main restaurant’s kitchen and to pour them all in to a big bowel to serve for breakfast that morning.

‘’We did it, it was not something related to us or something that would harm us, but we complained to  the management and there was no action taken against it,’’ he said.

Resort response

Addressing the accusations made by its former staff, Conrad Hotels said it preferred not to enter into a “public discussion” concerning the claims. Conrad said it offered several official channels within its organisation that allowed staff to address particular concerns over adherence to company rules and policy during their employment.

The company added that as an international hotel chain, it worked to ensure its employment policies were in line both with Maldivian labour laws and global company standards in order to protect staff at Rangali Island. The resort employed almost three Maldivian workers to each expatriate member of staff, the resort noted.

“The hotel follows employment policies that are consistent with the country’s labour laws and the company’s own standard practices. This includes, but is not limited to fair remuneration, respectful treatment of our team members, training and development opportunities, diversity recognition and fair treatment for all,” stated the company. “It is important to note that as of June 2011, 74 percent of the resort’s team members are Maldivian.”

Conrad also reiterated its claim that the decision to release 29 staff was made based for business reasons – with all members receiving redundancy packages to “help them through the transition.”

Without commenting specifically on the policy of an individual resort, ‘Sim’ Mohamed Ibrahim, the Secretary General of the Maldives Association of Tourism Industry (MATI) said the group had not been made aware or been involved in dealing with concerns about discrepancies in the conditions of Maldivian resort workers, as compared to other nationalities.

However, Sim said he believed that the government would not allow Maldivian staff to be treated unfairly and in a disproportionate manner to other nationalities of workers under the conditions of its Employment Act.

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Police arrest convicted criminal in Fuvamulah

Police have arrested a convict who had been sentenced for 12 years was supposedly in prison, after he was arrested on suspicion of trafficking drugs on Fuvamulah in Gnaviyani Atoll.

Online newspaper Sun reported that the person was in possession of illegal drugs inside a rented room in the island after police entered the place looking for him.

He swallowed seven rubber packets he was holding when he saw the police, however he was later taken to the hospital and the illegal drugs were taken out from his body.

The paper identified him as Abdulla Shareef, 34 of Lhaviyani Atoll Kurendhoo.

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Cafe’ Alfresco reopens

Cafe’ Alfresco has announced that it has been reopened, after the Maldives Food and Drug Authority (MFDA) shut down the famous cafe’ during a hygiene inspection program.

”We are happy to announce that Café Alfresco has been reopened today (June 15, 2011) at 4:00pm,” Alfresco said in a statement on its website.

”We have set the facilities to meet the required standards and all rules and regulations will be given top priority,” the statement said. ”Once again we sincerely apologise to all our customers and assure that all regulations will be met and maintained in the future.”

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Online database of Maldivian personal details reportedly shutdown

A database pertaining to detail personal information about all Maldivians over 17 years of age has been shutdown hours after going online today, local media has reported.

According to Haveeru, the website that published the information, which has since been taken down, allowed a user to find the birthdates and address of a citizen simply by entering their name into an online database.

The report claims that the Department of National Registration had rejected the possibility of the details having been leaked through its office. The department added that it had been investigating the website following complaints about the data being published.

Police were unavailable for comment on the matter when contacted by Minivan News at the time of press.

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Letter on waiters doing cleaning jobs

Dear Director General of the Maldives Food and Drug Authority (MFDA),

I appreciate the good work that you are doing, especially the newly started inspection of the country’s food catering services, like hotels, restaurants or cafés.

So, let me bring to your notice something which I believe important looking at today’s situation. The unskilled laborers who are actively working at our food catering outlets in Male’ City are doing the floor and toilet cleaning jobs and as well as the waiter’s job. And also it’s these laborers who are doing the table clearing or cleaning jobs using an awful looking damp and dirty piece of cloth (which actually is a white color piece of cloth but one would look at the cloth and say it’s a black color piece of cloth). Here my worry is that the same laborers who do the waiters’ job are doing the cleaning jobs like toilets, floor and clearing the tables.

I have noticed that a Food & Drug Authority of a country like ours does not allow those who do the cleaning or clearing work to also do the waiter’s job or serve food to customers. I believe it’s only for the sake of the people’s health.

So, I think now it’s time for us to think about such issues as we all know those who are at these areas are very unskilled laborers who know little about food handling. We also notice them digging nose and spitting here and there while doing waiters’ jobs. Here I am not talking about the costly restaurants but the normal places where the majority of people are going for their meals.

Yours truly,

Mohamed Saeed

All letters are the sole view of the author and do not reflect the editorial policy of Minivan News. If you would like to write a letter, please submit it to [email protected]

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Australia to allow online tourist visas for Maldivians

The Australian government will allow Maldivian nationals to apply for tourist visas online from July 1.

In a statement, the Australian High Commission in Colombo said the new system would not require Maldivians to have a visa label placed in their passport.

“A notification is sent to the client providing details of the visa and airlines are able to confirm the visa entitlements through the Advanced Passenger Processing System,” the High Commission said.

“Clients can also, if they wish, print a copy of their visa approval notification email to carry with them whilst traveling to Australia.”

For more information and to access the lodgement gateway, go to www.immi.gov.au/e_visa/e676.htm

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