HDC's social housing responsibilities to be transferred to FDC

All social housing related responsibilities of Housing Development Corporation (HDC) are to be transferred under Fahi Dhiriulhun Corporation (FDC).

The proposed budget for next year states that FDC is to be tasked with social housing responsibilities so as to increase focus on such projects, and to conduct them in a better researched manner.

FDC is also being made into a subsidiary of HDC so as to decrease its dependence on the government's budget and under efforts to create subsidiaries of companies with well-managed governance.

Finance Ministry said that in order form the HDC and FDC synergy, the procurement system will be formulated in a manner that benefits both companies. Furthermore, the company will be run at the lowest possible operational costs.

FDC is a company that was formed in 2019 to conduct social housing projects. The company is currently constructing 4000 flats in Hulhumale' under the Gedhoruveriya housing scheme.

Finance Ministry said that once HDC is relieved of the social housing responsibilities, it will be better operated, and will be able to go for an Initial Public Offering (IPO) and be made into a company that can sell shares to the public.

HDC was first established in 2001 for the development of Hulhumale'. In 2005, it's mandate was changed into a company dedicated to run housing projects. The company now oversees development projects in Hulhumale', as well as conducting commercial and social housing programs.