No maritime agreement, confirms Sri Lankan High Commission

The Sri Lankan High Commission has refuted the existence of a special agreement allowing Sri Lankan vessels to cross Maldivian territorial waters.

News of such an agreement was published last week in Maldivian media after Sri Lanka’s Deputy External Minister Neomal Perera was quoted in Sri Lanka’s Daily Mirror newspaper as saying such an agreement had been signed.

In the Maldives, Fisheries Minister Dr Ibrahim Didi and Foreign Minister Ahmed Naseem denied such an agreement existed, while the President’s Press Secretary Mohamed Zuhair said foreign vessels already had such permission under the UN Convention on Law of the Sea.

The opposition Dhivehi Rayithunge Party (DRP) denounced the supposed agreement as an assault on soverignity and “an insult to Maldivian fishermen”, questioning the capacity of the country to monitor illegal fishing, while Maldivian Democratic Party Chairperson ‘Reeko’ Moosa retaliated by saying such a statement was “very irresponsible” as it implied Sri Lanka were “thieves”.

The matter entered parliament and MDP MP Mohamed Musthafa threatened to present a motion without notice to reverse the supposed agreement.

However in a letter sent to the Maldives Foreign Ministry seen by Minivan News, referring to articles on the matter published in local newspapers Haveeru and Miadhu, the Sri Lankan High Commission stated that “The Deputy Minister of External Affairs of Sri Lanka has made no statement claiming that a maritime agreement to facilitate Sri Lankan vessels to cross Maldivian territorial waters has been signed between the two countries. This is the official position of the Government of Sri Lanka.”

Attached to the letter was the original statement from Sri Lanka’s External Ministry, reporting that the minister had successfully negotiated the release of seven Sri Lankan vessels held by the Maldives on suspicion of poaching, but made no mention of a signed agreement to allow vessels traffic through the Maldives.

The Ministry of Fisheries meanwhile noted that while “innocent passage” was routinely granted for foreign vessels, unlicensed foreign fishing vessels were required to notify the ministry before entering the Maldives exclusive economic zone.


Child care worker at Villingili orphanage arrested for mistreatment

Police have arrested a female staff member working at the Villingili children’s home, after she allegedly physically abused a boy living in the centre.

Police Sub-Inspector Ahmed Shiyam confirmed that police had received reports of the incident.

“It’s very difficult to provide further details of the incident at this time,” he said. “I can only confirm that police have received a report that this incident occurred.”

Deputy Minister for Health Lubna Mohamed told Minivan News that media reports of the arrest made in the children’s home were correct.

“A child care worker working at the Villingili children’s home was arrested by police after we learnt that she had physically abused a child living there,” Lubna said.

Lubna said the issue came to light after the director of the children’s home noticed that the child had visible external bruises.

“The director informed us of the incident and we immediately reported it to police,” she said. “We have zero tolerance for such actions. All staff working in the children’s home have to respect the rights of the child.”

Lubna said the staff member was summoned to the Criminal Court which granted a five-day extension of her detention.

In October last year, the Maldives Police Service and the Health Ministry commenced a joint investigation into “erious issues” concerning the mistreatment of children at the children’s home.

However, no information on the matter was divulged.


Q&A: CEO of Bank of Maldives, Peter Horton

The Bank of Maldives (BML) has appointed British national Peter Horton to the position of CEO, replacing Ganesan Subramanyam who left the country in May 2010 amidst an internal investigation concerning allegations of sexual assault. Minivan News spoke to Horton about the challenges facing the bank, its strengths and opportunities such as developing the Maldives as an offshore banking destination for nearby emerging economies such as India.

JJ Robinson: What was it about your professional background that makes you suitable for the role?

Peter Horton: The very long story is that I’ve been in banking since 1984, spending the first 15 years in the UK with Barclays (one of the UK’s four major banks). I then moved out to Africa with Barclays operating initially as a risk director for the business, at the time the most profitable part of their business. That was in Botswana.

From there I ran Barclay’s corporate turnaround teams for the whole of Africa, so I have huge experience dealing with distressed portfolios and problem lending. I lived in Nairobi (in Kenya) for three and a half years.

Afterwards I spent time building my own company in South Africa, before going back into banking in the Bahamas with a subsidiary of the Canadian Imperial Bank of Commerce, where I was in charge of corporate banking. If there is any theme in my career it is one of building strong teams and re-engineering teams and businesses internally and externally. In many ways I’m probably more equipped for this role with BML than I first realised.

JJ: What were your reasons for accepting the BML role, how did it come about, and why did you decide to come to the Maldives?

PH: At this particular stage of my career I was looking for the right step in terms of progression and development. This is my first CEO role, although not my first leadership role.

It really fulfilled a number of my requirements. Here is a business with challenges facing it, and a CEO role with some degree of autonomy, and just happens to be in the Maldives. I was happy to come here – although I have limited experience of Asia, my wife is from Indonesia.

I am very hungry to develop myself and I wanted a challenge. I also know that at my age it’s important to advance your career properly, and I never hide from challenges or taking responsibility for my actions.

The bank was looking through many channels to recruit and the role came to me through an HR consultant I was working with in the UK. He recommended it and the rest is history.

JJ: Did you hear anything about the fate of your predecessor?

PH: It’s fair to say is that Google is a very powerrful tool and I’ve seen a lot of things, some of which might be true and some might not. Obviously on arriving here it was very important to understand the history of the business. Certainly I’ve taken time to understand some of the challenges the business has had to face in the last few years.

My predecessor did go some way towards making changes in the business, and I needed to understand where it was going to. I’ve spent the first two months learning the recent and distant past.

JJ: What do you see as the key challenges BML is facing?

PH: I think many [challenges] will dovetail ino each other. We have a very public and a very high non-performing loan problem. Whereever you are in the world, that is an impediment to any bank’s performance, and it has a carrying cost. It also creates a certain mood around the business internally and externally.

The economy we are operating in creates a challenge. We like any bank in the Maldives are restricted by the size of our balance sheet and in respect of having a single borrower limit, and also crediential industry limits. Knowing that the bulk of the industry here is tourism, but also having a limit up to which we are not able to lend any more to tourism, becomes a constraint and a challenge.

I think the other challenge we face is around service. I think this business grew very rapidly, not just the loan base but in terms of customers, especially if you look at what BML was 10 years ago.

That goes some way to explaining why we have such big queues in the banking hall. When I came out for my interview I took the time to walk around Male’ several times – and go in very incognito to see the BML branch. I have to experience what the customer experiences , and I don’t think that experience is what any of us want.

So for me a challenge is to create a great customer experience. That is a challenge: serving the segments we have chosen to serve, but acknowledging some aspects in which we have to do better. Some of that is service, some of that is embracing new technology, other looking is at our processes. The customer base often grows faster than processes.

Those are the key challenges: a challenging and relatively flat economy – we haven’t even touched on the dollar shortage – a high level of non-performing loans, concentration of activity in the economy which is at odds with what any bank has to have for a balanced portfolio, and personal service issues.

JJ: What are some of the ways you are planning to address these challenges?

PH: Without sidestepping the question, I am at the point where I am formulating a bigger strategy for the bank and it is only correct that I speak to the board and engage them first.

What I can say is that every single one of those issues we can address, and we can deal with. None of the challenges I’ve outlined daunt me. What I do not want to do is to rush into inappropriate quick fixes. I want this business to be successful in a very sustainable way.

We can talk about the challenges, but also focus on the upsides of the business and start to capitalise on them better than we have been.

JJ: What are some of key areas of potential for BML?

PH: Some of this is again part of the strategy. But as to the strengths: we already have some great innovation within BML. We issue credit cards, debit cards, and have invested substantially to be a card acquirer serving domestic and resort communities. We have unparalleled reach in this country. We are in every atoll and do our best to reach clients even if we don’t have a branch near them. It might not be the best in some respects, but we are trying.

We bank more parts of the sector in this country than any other bank, and we have some outstanding talent within our business.

JJ: One of the perceptions here is that despite the resorts being a major part of the economy and certainly moving a lot of money around, they tend bank outside the country – either because of concerns relating to the stability of the Maldivian economy, dollar issues, or because they already have a head office based overseas somewhere like Singapore or Thailand. Is there an issue attracting these businesses to bank locally?

PH: Every international business is going to to an international treasury function. I’ve seen it in Africa and the Caribbean. They will move funds around as it suits them best, and it isn’t necessarily negative towards the Maldives. [A company] in Sydney might have an offshore unit in Singapore for tax reasons because that suits them better.

If we were able to provide an offshore banking alternative, it is not inconceivable that the Maldives would attract some of that global flow of cash by having a favourable tax jurisdiction here. It is certainly a big plus.

I think that’s always what you are up against in terms of flow of cash. Ways we can attract more dollar flow to stay here is  probably by lending more dollars to make it stay here. If I am lending in dollars I am making a dollar profit – that dollar profit stays here because we don’t have dividends going outside the country. If we’re able to address the balance sheet and dollar contraints we have, that to me would be a way to increase the level of dollars that stay in the country.

Merchant services is one aspect – whilst the dollars might flow out of the country, we do make a profit on it – a profit I can lend, because my profits stay here. Beyond that it is very difficult to dictate to people where their cash should and shouldn’t be, and the decsions are largely dictated by people outside the country anyway, at least for the international groups.

JJ: What were some aspects of the Bahamas’ approach in making itself a favourable tax environment for attracting offshore banking, and are they things that can be applied in the Maldives?

BH: Some of it is historic [in the Bahamas], and that can be an advantage and a disadvantage. It is a disadvantage because you get very staid in your ways and you don’t move as quickly as you should. But the advantage is that you build up in your economy local and imported people who are experts in these areas. The legal and accountancy professions are very experienced in the industry and there are lots of local staff who are qualified trust professionals.

But some of the things that are a real advantage – a colossal advantage – is the Bahamas’ geographic proximity to the US mainland. But if you look at the world’s emerging economies, which are moving West to East, our proximity to India and to a lesser extent Sri Lanka, and with direct flights to most South-East Asian cities, should be a huge advantage for us.

The majority of offshore banking centres do rely on imported people and instiutions. They are truly migratory these days. We are in a global economy now where things move overnight, so if you were able to do the things to attract people, it is very, very doable.

The other thing is having sufficient protection around the business – having a strong regulator, a strong legal system, and probably some degree of monetary protection. If a private bank is bringing dollars into the country, there needs to be some degree of certainty that the dollars can sit in the country quite safely. A lot of the things are already here, and not many things need to be done. There is certainly quite a lot of sophistication in the Monetary Authority, certainly the Maldives’ geographic location is a huge plus, and you already have a tax regime which is friendly to anybody, more or less.

It is doable, but it shouldn’t be considered easy. You also have to decide on a specialisation – if you look at the Carribbean, jurisdictions tend to specialise in one area so you have to pick what horse you’re going to ride as well.

JJ: The ongoing dollar shortage is now among the top issues everyday people in the Maldives are facing. What is your impression of the origins of the dollar shortage, how it can be addressed, and do you agree with the government that it is an internal problem, or is else a product of outside factors?

PH: I’ve only been here for seven weeks so it is difficult to say. A reality of the economy is that we are importing so very much, and we have so few dollar generating industries. In very simple terms, any downturn in the economy incur losses in the economy when turnover drops below break-even level. That is where we are as an economy – our revenue in dollar terms, in terms of the imports we require, is lagging.

We need to look at ways of keeping dollars in the country as much as possible. You touched on the fact that a number of entitites are taking money out of the country – and are free to do so without exchange control. I think we also need to look at other ways of enhancing dollar revenues through fresh or new industries – and I would include financial services among those industries.

It is also an impact of the global [economic recession], and there are only so many things the Maldives’ economy can do. I know too little of the history of the dollar shortage to know the precise causes of it, but I agree that it is a real challenge facing the whole country right now.

JJ: One of the perennial issues is that most of the banks impose a quota on the amount of dollars they exchange for rufiya every day. Obtaining those dollars seems to be an issue of personal connections at whatever bank you happen to bank at – an issue of who you know. Do you forsee a situation where there will be a free-flow of dollars in the near future? Or do you think it will get worse before it gets better?

PH: I can’t really say if it will get worse before it gets better. I don’t see it [improving] in the short-term without some form of intervention, and correction of what is a difficult day-to-day problem for us. I think it may be as good as it gets right now, and it will be something more than today’s economy that will be required to correct the issue. It is hard to say – it is not going to get much better.

JJ: How does the dollar shortage affect the banks? The government is struggling with the problem and people are quick to blame “greedy banks hoarding dollars”.

PH: As all banks do we have an assets and liabilities committee and that is a sign of a bank very actively managing its balance sheet and its liquidity. As with every bank right now, you have a number of calls on your dollars. You have dollar committments yourself – you may have intermediary credit lines, commitments on credit card settlements you have to meet. If you are issuing credit cards to people using them overseas, that is a cash cost to me. We also have committments to try and help our customers as best we can.

However the inflows of dollars we have are really only in two areas – one is acquiring credit cards, so all the dollars from tourists using credit cards come through our accounts and might not stay with us, but we do make some fee income on those [transactions], and the second area is our lending. Hopefully what we earn on our loan is more than we lend once we settle our funding cost. It is a daily job managing that liquidity. We don’t have the luxury of not being able to monitor it closely.

[The dollar shortage] is very challenging for us because we see customer needs we are unable to fulfill, whether it be the guy trying to get money for medical treatment or the trader trying to buy goods from overseas, and we just can’t provide it because we haven’t enough money. We are credentially holding sufficient dollars to cover our short, medium and long-term commitments – which we have to, and which will be our first priority always. However after fulfilling that requirement we not hoarding any dollars – we are doing our best to satisty as many people as fairly as possible.

The challenge for us is that as a bank for the masses that is a very broad spectrum of people – we try to devise systems that are even-handed and fair, but it is difficult to satisfy everybody.

JJ: What kind of impact does it have on foreign investment when you go to a bank and find a withdrawal limit on your account, or a set exchange you can do in a day?

PH: A lot of the foreign investors will almost see their investment as being in a different country [to the Maldives], because you have a domestic economy and an international economy here. The resort business, which is substantially where the international investors are coming from, has clear dollar flows, and no restrictions on funds being repatriated.

Those companies can only speak from their own personal experience, and their own personal experience is probably that they’ve never had a problem getting money out of the country when they’ve needed to, after they’ve fulfulled their obligations.

I think for those without dollar inflows, it is a challenge. Anybody doing due diligence in the country is probably going to look at that as an issue. It is less of an issue if you are in a dollar-dominated business – I’ve spoken to resort owners who have a problem paying their workers because they are trying to get cash from the bank. You could argue that’s a separate matter, but for the bulk of international investors it’s probably not an issue.

If I was coming in to invest in something that wasn’t exclusively earning dollars, then I would have a problem because any investment you make is on the basis of a dividend coming to you. If you can’t repatriate money – through a dividend or a head-office charge – then the uncertainly would make it a consideration for you. Whether it’s a deterrent depends on the potential profit and competitive advantage, and that might be big enough to mitigate those issues. But it is undoubtedly an issue for incoming investors.

JJ: The MMA has been quietly replicating a successful mobile banking system popularised in Kenya by Safaricom’s M-Pesa. What is the status of mobile banking here and what kind of impact do you think it could have?

PH: The first thing about M-Pesa is that it is a cellphone company initiative – Safaricom – as opposed to what MMA is looking at here, which is a bank-led initiative.

JJ: Didn’t Safaricom effectively become a bank?

PH: Yes, but interestingly – and I havent reasearched it enough – they are taking deposits, but are not registered as a bank. The way they get around it is by converting deposits to ‘mobile currency’ which has a 1:1 value with the local currency. They buy and sell that currency at time of deposit and withdrawal – a highly successful model.

Yes the MMA have been engaging with BML, I have reviewed some of the material, but I’ve asked MMA to share more information with me. We already have a mobile banking option as part of a suite of electronic banking options that we offer to our clients. I think the sentiments and objectives of the MMA are first-class, which is to reach the unbanked, or partially banked. We have been doing that as BML – we have branches in the atolls, and we have a dhoni going around the islands – I suppose having a floating bank really is mobile banking!

I think the whole area of using techonlogy to break down barriers is exciting and appropriate, however within that there are solutions that are not appropriate and there solutions that are appropritate.

What we have to do is be careful and not rush in because something looks wonderful but is not right. At this stage we have to tread carefully to make sure it is right for customers primarily, and commercially right for the bank. We cannot enter into things that are substantially loss-making to us, or substantially wrong for us in terms of the risks it exposes us to. Equally we wish to the serve the customers, that is something we can achieve.

I’m very mindful of the difficulties some people have banking with us right now – or in having access to banking at all. I do want to bridge that, and that is a mandate that is implicitly BML’s. Once you are a bank to the masses you are a bank to the masses for life; you can’t go backwards from that.

We are genuinely proud of that, but it is important to look at how we can do it efficiently, with good serivce, and as a cost to business. It should always be profitable – we are not here to be a charity.

JJ: How much autonomy does BML and the CEO’s position have? How far are you able to operate independently of the MMA or the government?

PH: We have a very active board, and it is a board with plenty of experience in many different directions. The relationship between the board and its sub-committees are excellent, and I don’t want autonomy that doesn’t have that. We have a very strong corporate goverance structure and I think that comes out of the previous areas of criticism of the bank, which have since been corrected. They are robust and they work.

We work with the regulator, and I haven’t seen anything that would stop us working as a commercial entitity. We are commercially focused and operate as a commercial entity. I have not sensed any politics in my time so far, in terms of the business.

We know we’re regulated and have a generally good relationship with the regulator. I’ve met with officials and they are doing their job properly and professionally. I don’t feel constrained, but neither do I feel I can run off and do crazy bad things. Which is how it should be – we are properly regulated and governed.


DRP MP proposes amendment to lower age of juveniles from 18 to 16

Dhivehi Rayyithunge Party (DRP) MP and Youth Wing’s head Ahmed Mahlouf has presented an amendment to the parliament to designate persons under the age of 16 years as juveniles.

Currently persons under the age of 18 are legally considered as juveniles.

”The purpose to change the age is due to the significant increase in involvement of minors in crimes sinister in nature, and they cannot be sentenced to the full extent as they are considered as minors,” said Mahlouf. ”Although they are considered as minors, they are sometimes very dangerous.”

Mahlouf said he has noted that children of the age 16-18 are more likely to be engaged in criminal activities because many finished their ordinary level education at the age of 16, and most of them did not prefer further studies which was leading them to the wrong path.

”They do not prefer or get the opportunity for further studies but they cannot even be employed because they are considered as minors,” he said. ”In a religious perspective also it is more appropriate to set the age of 16 as adults.”

Of the roughly 10,000 students who sit their O’level exams each year in the Maldives 8000 fail, although the pass rate is slowly improving.

Mahlouf also presented an bill to regulate the resort security which requires each resort and hotel to have a security system approved by police.

”This was submitted considering the recent attempts to rob resorts in the Maldives which could eventually effect the entire economy of the country,” Mahlouf said. ”The bill also requires police to supervise the security of the resorts annually.”

Recently, a 20 year-old man was found dead floating on the lagoon of Baros Island Resort and Spa, allegedly one of the seven persons that went to rob the island.

Mahlouf also said a DRP Youth Wing’s rally will be held Friday night near the Tsunami Monument where senior members of the party will address people about gang violence.


MDP proposes parliament dismiss Dr Afrasheem and MMA Governor

The Maldivian Democratic Party (MDP) has proposed dismissing main opposition Dhivehi Rayyithunge Party (DRP) MP Dr Afrasheem Ali from the Judicial Service Commission (JSC) and Fazeel Najeeb from his post as the Governor of Maldives Monetary Authority (MMA), reports SunFM.

MDP Parliamentary Group Leader “Reeko” Moosa Manik claimed that the pair had failed to carry out their held responsibilities.

The station quoted Moosa as saying that judges have been obstructed from conducting their work because of Dr Afrasheem, a day after the opposition-majority parliament declined the approval of Attorney General Dr Ahmed Ali Sawad.


MDP Parliamentary Group calls for dismissal of MMA Governor

The Maldivian Democratic Party (MDP) Parliamentary Group has called on the President to remove the Governor of the Maldives Monetary Authority (MMA) Fazeel Najeeb from his position, accusing him of irresponsibility and “repeatedly failing to fulfill his legal obligations”.

In a statement, the Party said that the MMA Governor was legally required to not pursue any work other than that required of his role in the MMA.

”However because he is currently studying he spends most of the time out of the country,” said the MDP in a statement. ”Although the laws on MMA obligate the Governor to council the President on the financial condition of the country, the instruction and council is not being given to the president.”

The party claimed that Fazeel was not cooperating with the government to find a solution for the difficulty in bringing foreign currency to the country.

The statement explained that the Governor of the MMA is appointed and dismissed by the President with the council of the parliament, according to MMA Act, Act No 81/6 article 6 [3].

On 10 November last year, MDP Parliamentary group said the Finance Ministry had written to the Governor asking for steps the MMA would recommend be taken to resolve the foreign currency issue.

”But he never responded to the letter. The Finance Ministry wrote to the Governor again on January 16 of this year and he responded to the letter on 10 February,” claimed the MDP Parliamentary group, “but he did not mention how the issue might be solved.”

The parliamentary group further accused Fazeel of using the MMA’s credit card “for his own purposes.”

Minivan News attempted to contact Fazeel to respond to the MDP’s allegations, however his phone was switched off. Spokesperson for the MMA Ahmed Naseer told Minivan News that Fazeel was currently not in the Maldives and was unavailable for comment.


Umar Naseer supporters call for Thasmeen’s resignation, outside DRP head office

Protesters allegedly in support of the opposition Dhivehi Rayyithunge Party (DRP) have gathered in front of the group’s head office calling on its leader, MP Ahmed Thasmeen Ali, to resign.

The protests, which took place this afternoon outside the group’s headquarters opposite the Artificial Beach, came as website ‘Dhivehi Post’ published an article calling on DRP supporters to gather near the building.

The website alleged that Thasmeen was offering “gifts” to his party’s disciplinary committee members to dismiss DRP deputy leader Umar Naseer from his position.

In September Naseer accused Thasmeen of attempting to dismiss him from the party, after the DRP council voted narrowly to recommend Umar to the disciplinary committee.

“I know that the disciplinary committee will decide to oust me from the party, that is very clear to me,’’ Naseer told press at the time, adding that the committee was “full of Thasmeen’s people who would do whatever he says”.

This afternoon, 30 protesters gathered near the DRP’s headquarters holding placards carrying messages in Dhivehi saying things such as “although Umar may be removed from his position he will be serving the nation and the people.”

Others signs being held outside the party HQ read, ”for the nation, religion and people, we call on Gayoom to be back in politics” and ”Primaries will be held to elect the party’s presidential candidate in 2012.”

Umar Naseer vowed to take legal action against “government officials and opposition figures who accepted bribes from (Indian infrastructure giant) GMR”, following allegations that surfaced on the Dhivehi Post website last week.

Thasmeen and Naseer were not responding to calls at time of press.


MNDF commence training in Male’

The Maldives National Defence Force has commenced training exercises in the capital Male’.

MNDF reported that the trainers will be armed and would conduct weapon simulations in Male’ and on some areas of the sea nearby.

The MNDF assured that no weapon dangerous for the people would be used during the training sessions.

MNDF also thanked people for their co-operation.


NGO coalition sets up table in front of Arabiyya to hear parent’s complaints

The same NGO coalition that once worked against the banning of alcohol in inhabited islands has now launched a campaign against the education sector of the Maldives, today setting up a table in front of Arabiyya school to collect complaints from parents.

‘’We have received several complaints from parents from different eight schools in Male,’’ said Ibrahim Mohamed, an official of the coalition’s analysing committee. “Parents are co-operating with us and raising their voices, many of them have concerning issues.’’

Ibrahim said the parents were demanding the education sector uphold the religion and article number 36[c] of the constitution.

Article 36 [c] reads ‘’Education shall strive to inculcate obedience to Islam, instil love for Islam, foster respect for human rights, and promote understanding, tolerance and friendship among all people.’’

“The education sector of the Maldives is now operated not only against the constitution of the Maldives also against the manifesto of ruling Maldivian Democratic Party (MDP),’’ Ibrahim claimed.

“The fact that President is not taking any action against this proves that he also has an agenda in this.’’

Ibrahim referred to article 67[g] of the constitution and said that making Dhivehi and Islam optional [at A-level] violated the article.

Article 67 (g) demands the preservation and protection of the state religion of Islam, culture, language and heritage of the country.

“It is against democracy to dismiss the voice of the citizens,’’ he said. “We regret that our president is dismissing our voice and refusing to meet us.’’

Yesterday the NGO coalition and some parents gathered near the President’s official residence and demanded to meet the president, before a riot police squad arrived and dispersed the crowd.

The series of gatherings triggered when the education ministry expressed an idea of making all government schools co-educational. Currently all but four are co-educational.

The NGO coalition, religious NGO Salaf, Adhaalath Party and the minority opposition People’s Alliance (PA) strongly condemned the idea.

Deputy Minister of Education Dr Abdulla Nazeer recently told Minivan News the ministry had not decided to mix female and male students in the secondary grades.

“But we have decided to establish primary grades in all the schools,’’ Nazeer said. ‘’So Majeediyya School, Dharumavantha, Ameeniyya and Hiriya will no longer be solely for secondary education.’’

Secondary education will be provided in all the primary schools as well, he added.

The Education Minister Mustafa Luthfy has come under pressure from religious NGOs and other concerned people, following the ministry steering committee’s proposal to make Dhivehi and Islam as optional subjects for A level students.