Parliament’s Hulhumale’ MP Ali Niyaz has requested for a summoning of the Minister of Housing Dr. Ali Haidar to inquire about the current government’s plan on compensating Hiyaa flat tenants.
The MP proposed inquiring from the minister on how the government aims to compensate the tenants for the finishing expenses they incurred for the social housing units. Earlier, the current government announced the decision to compensate MVR 200,000 to each of the tenants for the said expense.
MP Niyaz in his query asked from the government, specifically the minister, to provide the set plan to compensate the tenants of the housing towers and further demanded to know the duration within which it would be paid.
Compensation of MVR 200,000 in finishing expenses for Hiyaa social housing scheme tenants is a major campaign pledge of the incumbent President Dr. Mohamed Muizzu. He revealed the pledge during a campaign visit to meet the residents of the housing towers earlier.
Meanwhile, the newly appointed Managing Director of Urbanco, former Felidhoo MP Fazul Rasheed has promised the compensation would be disbursed to the tenants accordingly.
The 7,000 housing flats developed during former President Abdulla Yameen’s administration were awarded to the recipients during outgoing President Ibrahim Mohamed Solih’s government, without concluding the finishing touches of the units. The outgoing government attracted public criticism for this.
Earlier in May 2023, monthly rent of the housing units was cut to MVR 6,300 from the original MVR 8,500 per month. Following the rent cut, the loan repayment period for the units has been extended from 25 to 27 years.
During his presidential campaign, Dr. Muizzu promised to reduce the monthly rent of the units further to MVR 5,600. The government allocated MVR 177 million in its state budget to adjust for the expenses that are expected to increase owing to the rent decrement.
Yameen’s administration took a massive loan of USD 400 million (MVR 6 billion) for the housing scheme.
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