Many projects completed despite budgetary constraints: Minister

Minister of Construction and Infrastructure Dr Abdulla Muththalib stated that 37 projects have been completed this year, despite the budget approved by Parliament being insufficient to cover all intended projects.

At a press conference at the President’s Office, Minister Muththalib shared that the previous government had signed contracts for 322 projects valued at MVR 39 billion under the ministry’s portfolio.

However, only MVR 3.6 billion was allocated for these projects, representing just 15-20 percent of the funding required to carry them out this year.

"The most common question we’re asked is why the projects aren’t moving forward. The answer is straightforward: the budget doesn’t include the funds needed to run these signed projects. We are spending within the allocated budget," he said.

Despite these constraints, the minister highlighted that the ministry managed to complete several projects, including four harbour projects, one land reclamation project, one road construction project, three beach protection projects, and 29 water and sewerage projects.

Dr Muththalib noted that the ministry's most significant challenge was MVR 1.72 billion in pending bills. However, a total of 37 projects worth MVR 1.976 billion have been completed this year, with an additional 21 expected to conclude by November next year.

Last year, the approved budget was MVR 49.8 billion, but a supplementary budget of MVR 5 billion has now been proposed, which now includes over 3,000 projects.

According to the Finance Ministry's budget for this year, MVR 1.5 billion has been allocated for new government projects, with 144 projects underway and 314 more proposed.

The new government’s project priorities include road development on islands, airport development, land reclamation, health centers, schools, and mosque construction.