Rasmalé reclamation restarted

Reclamation of the 'Rasmalé' project, initiated by President Dr. Mohamed Muizzu as a housing solution in the Malé region, has resumed after six months of hiatus.

The government initially awarded the project to Capital Marine and Investment (CMC) on 18th December 2023. However, the company failed to complete the task within the agreed timeline. Because of this, the government canceled the agreement and decided to arrange funding for the project instead of proceeding with the original plan to compensate the contractor, CMC, with reclaimed land plots.

As per the compensation plan, CMC was to get 70 hectares of land from the Malé area for 99 in years in exchange for the project's work. Additionally, 60 hectares from Fushidhiggaru and 10 hectares from Hulhumalé was also promised.

The Fushidhiggaru lagoon area is the highest priority development zone under President Muizzu's 'total solution' for housing policy. The government agreed to a land-for-work compensation model after the then Maldivian Democratic Party (MDP) majority Parliament deducted MVR 400 million from this year's budget for the project.

In a post by Housing Development Corporation (HDC) announcing the projects resumption, the state-owned enterprise said that the project is "another step forwards in our community's growth and development."

However, the new contractor is not yet known.

Had the project gone on as per the original timeline, the entire reclamation would have been completed within eight months, by last August.

Earlier this year, President Dr. Mohamed Muizzu, during his visit to China, signed an MoU to develop 30,000 housing units in Rasmalé. However, the value or form of Chinese assistance for the project was never disclosed.

As per the government, a total of 65,000 housing units will be developed in Rasmalé, including land plots and flats.