Maldives News Bulletin - Volume 171

Discover latest updates of the Government

Date: November 6, 2024 | Issue 171

The President inaugurates the public consultation process for the ‘20-Year National Development Plan’

President Dr Mohamed Muizzu inaugurated the public consultation process for the 20-Year National Development Plan during a special event held on Wednesday morning at the Maldives Centre for Social Education (MCSE). 

Speaking on the occasion, the President emphasised the importance of everyone’s cooperation in planning and executing the plan for the benefit of the country and future generations. He stated that the country could be recognised as fully developed by 2040 if the plan is developed and carried out effectively. 

The President urged that the development masterplan focus on modern technology and the digital economy and address the core challenges faced by the people.  

Following the President’s speech, a discussion panel on the 20-year National Development Master Plan commenced. This panel includes parents, teachers, students, institutions, civil society members, individuals needing medical assistance, and participants from various backgrounds. 

Creating a 20-year national development plan has begun, with a commitment to completion within a year. Additionally, the Government has decided to include a clause in the Constitution to grant legal authority to the plan. 

SOURCE : The President’s Office

Vice President inaugurates “Hashiheyo Raajje” programme

Vice President Uz Hussain Mohamed Latheef has inaugurated the “Hashiheyo Raajje” programme at a special ceremony held this evening in Kulhudhuffushi City. 

Speaking at the ceremony, the Vice President emphasised that maintaining public health remains a top priority for President Dr Mohamed Muizzu. This marked the fulfilment of a key Presidential pledge. 

The vice president also stated that, because of the president’s commitment, relevant ministries will implement sports facilities across islands that are calculated to match each community’s population needs. 

Concluding his speech, the Vice President expressed confidence that the newly trained sports counsellors and youth associates would maximise their training to deliver comprehensive services to the public. He emphasised that whilst today’s ceremony in Kulhudhuffushi City marks the inaugural launch, the programme is set to expand throughout the Maldives. 

SOURCE : The President’s Office

President Ratifies 7th Amendment to Goods and Services Tax Act

President Dr Mohamed Muizzu has ratified the 7th Amendment to Act No. 10/2011 (Goods and Services Tax Act of the Maldives). 

The Amendment to the bill was passed in the 44th sitting of the 20th Parliament on 31 October 2024. 

The new amendments seek to revise the Tourism Goods and Services Tax (TGST). As such, the TGST collected from tourism-related services from January 1, 2023, will remain at 16 per cent until June 30, 2025. Following this period, as stipulated under Section 15(b)(6) of the Act, the TGST rate will rise to 17 per cent, effective July 1, 2025. 

Before the 7th Amendment, shops operating exclusively for employees in the tourism industry were exempted from being classified as tourist goods or services. The most recent change broadened the scope of the exception to include employee-only cafés, making the legislation more comprehensive. 

Following the ratification of the Act, any necessary amendments to the regulations under the Act must be completed and published in the Government Gazette within 30 days of the Act’s enactment. 

The 7th Amendment has now been published in the Government Gazette and is in effect. 

SOURCE : The President’s Office

Vice President concludes official trip to Kulhudhuffushi City

Vice President Uz Hussain Mohamed Latheef has returned to Malé City following the official trip to Kulhudhuffushi City. 

During the visit, the Vice President launched the “Hashiheyo Raajje” programme in Kulhudhuffushi City. On 4 November, the Ministry of Sports, Fitness and Recreation launched the “Leading Leaders” initiative to train leaders who will oversee the programme across six designated zones. 

This programme launched today is part of the Government’s 14-week pledge and reflects a long-term strategy to develop exceptional athletes. The initiative is being carried out by the Ministry of Sports, Fitness and Recreation as part of President Dr Mohamed Muizzu’s firm human resource development policy and training for the nation’s bright future. 

SOURCE : The President’s Office

Housing Minister says new programme will provide affordable housing for all 

Minister of Housing, Land, and Urban Development Dr Ali Haidar Ahmed has announced that the Hiyaavehi Financing Programme will deliver housing solutions to families nationwide. 

At the programme’s inauguration, Minister Haidar emphasised that providing adequate housing to all citizens, especially the homeless, remains a crucial pledge of President Dr Mohamed Muizzu’s Administration. 

The Minister highlighted the Hiyaavehi Financing Programme as a vital step in overcoming financial barriers to home ownership. He explained that the initiative would fund home construction on undeveloped plots throughout the country, primarily benefiting individuals without private or state-provided housing. 

With a nominal service charge of only 5%, the programme offers affordable loans for home construction on vacant land. Following Sharia law, applicants must make a “nominal contribution”, though the housing resource requires no equity payment. 

The Ministry of Housing and Urban Development has opened applications via the Hiyaavehi portal. The scheme supports various projects, including new home construction on undeveloped plots, completion of unfinished buildings, and repairing deteriorating structures. 

SOURCE : PSM

Education Minister highlights importance of community partnerships in success of schools 

Minister of Education Dr Ismail Shafeeu has emphasised the critical role that community partnerships play in school success, noting that these partnerships extend beyond merely providing resources—they also support teachers, foster mutual respect, and ensure strong leadership within schools. 

These remarks came during a ceremony where the Chinese government donated air conditioners to the Centre for Higher Secondary Education (CHSE). 

Speaking at the ceremony, Dr Shafeeu explained that the project to install ACs in all government schools is part of a broader effort to improve school environments and productivity. Enhancing physical facilities, he noted, aims to foster better relationships between students and teachers. According to the Minister, creating a comfortable and positive environment will improve student behaviour and interactions and nurture a greater sense of responsibility and respect for one another. 

Chinese Ambassador Wang Lixin expressed optimism that the initiative would bring positive change to the Maldivian education sector, highlighting China’s long-standing relationship with the Maldives and its ongoing support in various sectors since the two countries established diplomatic ties. 

The Government plans to complete AC installation in all government schools by the start of the 2026 academic year. This ambitious project marks a significant investment in the future of education. It is expected to improve the physical comfort of schools and the overall learning environment, ultimately contributing to better student educational outcomes. 

SOURCE : PSM

Government to introduce measures to keep jet handling revenue domestic 

Minister of Transport and Civil Aviation Mohamed Ameen has announced that the Government will implement measures to retain jet handling revenue within the Maldives to benefit domestic companies. 

Speaking at a press conference at the President’s Office, Minister Ameen revealed that whilst the jet handling business operates through a locally registered company, the profits are currently channelled to foreign parties, predominantly from neighbouring countries. He emphasised the Government’s commitment to reforming the industry to prioritise Maldivian interests. 

The Minister stressed the need to restructure company registration protocols to ensure revenue remains domestic rather than flowing to foreign entities. 

Furthermore, he announced plans for Government audits of general sales agents and passenger sales agents in the aviation sector as part of broader measures to ensure Maldivian companies gain more significant benefits from aviation-related businesses operating within the country. 

SOURCE : PSM

Parliament approves Ameeza as Deputy Commissioner General of Taxation

Parliament has approved Fathimath Ameeza as the Deputy Commissioner General of Taxation, with 64 votes in her favour.

President Dr Mohamed Muizzu sent the names of Fathimath Ameeza and Asma Shafeeu to Parliament on 23rd October. Following this, the names were forwarded to Parliament’s Committee on Economic Affairs, which presented a report on its decision to Parliament. The report indicated that the committee approved the names of both candidates. Hence, a voting session took place to appoint one of the nominees to the Deputy Commissioner General of Taxation position. The voting session concluded with Ameeza receiving unanimous support from 64 Members of Parliament.

Fathimath Ameeza currently serves as the Assistant Commissioner General of Enforcement at the national tax authority, Maldives Inland Revenue Authority (MIRA). She was nominated for the Deputy Commissioner General position as former Deputy Commissioner Asma Shafeeu’s term concluded on 31st October.

SOURCE : PSM

Education Minister highlights planning issues in Dharumavantha School’s new building

Minister of Education Dr Ismail Shafeeu has stated that the new building for Dharumavantha School, developed during the previous Administration, was constructed without a hall due to poor project planning. 

Responding to questions from Members of Parliament, Dr Shafeeu explained that since the construction commenced in December 2020, no action was taken to include a hall over the subsequent three years. While the previous Administration had proposed building a hall on a neighbouring plot, this land was initially designated for a prison in Malé City. 

The Minister noted that proper planning could have accommodated both a hall and a playground within the site of the new building. 

Dharumavantha School began as an extension of Majeedhiyya School, which was established to manage the latter’s growing student population. After the deteriorating condition of the original building necessitated relocation, a temporary facility was set up next to Velaanaage in 2016. The school has now moved into its permanent structure, a 41-classroom facility where classes began on 6th August for the new academic year.

SOURCE : PSM

China supported survey to tackle Male’ road issues launched 

The Ministry of Construction and Infrastructure has announced the initiation of studies for a road development project in Male’ and Villimale’. This initiative stems from an agreement between China and the Maldives, signed during the Maldivian President’s official visit to China this year. 

A team of specialists has arrived in the Maldives to conduct research and collect data from November 5th to 21st. The Ministry emphasises that this data will be instrumental in planning and implementing the road development project. 

Funded through Chinese government grants, the project encompasses road paving alongside improvements to water and sewerage systems, electrical infrastructure, stormwater management, and fire hydrants in both cities. 

Road Development Corporation (RDC) was earlier contracted to conduct topographic, geotechnical, and hydrological surveys and Environmental Impact Assessments (EIA) for Villimale’s road construction project. The development will cover 5.6 kilometres of roads, including new electrical, sewerage, and drainage systems. 

Male’s roads currently face deterioration and flooding issues. Despite previous attempts to address these problems, no permanent solutions have been implemented. Meanwhile, temporary drainage systems are installed in the city’s most flood-prone areas. 

SOURCE : PSM

Maldives, British High Commission hold workshop to strengthen emergency response 

The Maldives, in collaboration with the British High Commission, held a comprehensive workshop to enhance Government response to emergency situations on a national scale. The workshop, titled “Enhancing National Emergency Response Coordination Arrangements in Maldives,” took place from November 4th to 5th. 

The President’s Office stated that the workshop’s primary objective was to improve collective efforts in multi-agency responses to major incidents of national concern, including disasters and terrorism. The initiative also strengthened existing communication and coordination protocols across Government agencies. 

Facilitated by experts from the United Kingdom, the workshop drew participation from 13 government ministries and agencies.

SOURCE : PSM

Next year’s budget to be the first to follow IMF guidelines: Government

Deputy Minister of Finance Ahmed Saaid Musthafa has announced that next year’s state budget will be Maldives’ first to follow International Monetary Fund (IMF) guidelines. 

Addressing the latest rally of the central ruling People’s National Congress (PNC), Deputy Minister Saaid highlighted the distinctions between previous Governments’ budgets and the current Administration’s proposal for the upcoming year. He emphasised that this budget, the first to implement IMF’s government finance statistics, will save approximately USD 454.6 million in 2025. 

The Deputy Minister explained that extensive technical work underpinned the budget preparation, focusing on innovative revenue-generation strategies without burdening the public. He noted that the budget’s most significant shift lies in its systematic approach to expenditure control, ensuring Government spending directly benefits citizens. Unlike previous Administrations’ unimplemented reduction measures, this year’s budget incorporates these changes with full Presidential support. 

Deputy Minister Saaid further emphasised that the new budget maintains social justice principles, prioritising vulnerable populations when implementing expenditure cuts.

SOURCE : PSM

Committee to conclude budget review by November 20 

The Budget Committee of Parliament has set to conclude its review of the 2025 budget by 20th November. 

At its most recent meeting, the committee established a timeline for the budget review process, with unanimous agreement on the 20th of November completion date. The Governor and the Auditor General of the Maldives Monetary Authority (MMA) have been requested to provide a summary statement on the budget. 

The committee also elected its leadership. Parliamentarian Ali Fazaad, former chair of the Supplementary Budget Committee, was unanimously returned as Chairman, and Parliamentarian Ahmed Saleem was likewise unanimously elected as Vice-Chairman. 

Additionally, the committee has requested that relevant agencies compile comprehensive data on the budgets of independent institutions and offices. 

The USD 3.7 billion budget projects USD 3.2 billion in expenses, comprising USD 2.3 billion for recurrent expenditures and USD 862.3 million for capital expenditures. This proposed government budget represents the lowest deficit in recent years and includes several significant reform measures.

SOURCE : PSM