Oppose Hajj Corporation’s entry into tourism: Shaheem

Islamic Minister Dr Mohamed Shaheem Ali Saeed has said he does not support the state-run Hajj Corporation’s decision to enter the tourism sector, criticizing plans to develop a hotel in Maafushi as part of a new halal tourism venture.

Speaking to Mihaaru News, Dr Shaheem said he had not been consulted on the matter and voiced strong opposition to the corporation's proposed involvement in the hospitality business.

“I am definitely against the Hajj Corporation building a city hotel and entering the tourism business,” he said.

“There has been no discussion with the ministry, and the way it is going, I don’t see the feasibility of it.”

Hajj Corporation said yesterday that the hotel will be developed as a project of Maafushi Islamic Tourism Pvt Ltd (MIT), a subsidiary of Hajj Corporation. The project is currently seeking contractors.

MIT, registered in October 2024, is led by Managing Director Mohamed Shihab, who also serves as Deputy Managing Director of the Hajj Corporation. The board of MIT includes Hajj Corporation Managing Director Mohamed Shakeel and other senior officials.

Hajj Corporation was originally established during Shaheem’s previous tenure as Islamic Minister 12 years ago, following a rise in fraudulent Hajj operators. At the time, the goal was to centralize and regulate pilgrimage services to protect pilgrims.

Shaheem said the corporation has other, less risky means of managing funds without venturing into commercial tourism.

“I have been entrusted with the Hajj Corporation by the government and am accountable to both the cabinet and the parliament. Yet there has been no discussion or consultation with me. I have not seen the progress or feasibility on this," The Minister said.

Finance Minister Moosa Zameer also expressed skepticism about the plan, warning that state-run ventures into tourism, such as guesthouse operations may not yield positive results.

Hajj Corporation Managing Director Shakeel said the company incurs significant costs when facilitating pilgrimages. Although the cost per pilgrim is estimated at MVR 100,000, the corporation currently charges MVR 69,000, requiring an additional MVR 30 million annually from the company’s own budget to cover the gap.

To improve financial sustainability, Shakeel said, the corporation is also planning to launch an affordable housing project. The building design was awarded to the government-owned Fahi Dhiriulhun Corporation (FDC) in September 2024.