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MVR 1 billion expended on projects so far: Government

Refuting the claims of MDP President, Abdulla Shahid, Construction Minister, Muththalib stated that projects are stalled due to payment delays of former government and their expenditure reaching this point in their tenure was higher due to wasteful expenses.

Aishath Shuba Solih
25 March 2024, MVT 08:19
Minister of Construction and Infrastructure of the present government, Dr Abdulla Muhthalib
Aishath Shuba Solih
25 March 2024, MVT 08:19

Government has declared that MVR 1 billion was expended on Public Sector Investment Program (PSIP) projects starting January this year to the 14th of March alone.

The President’s Office had revealed this in response to claims of opposition Maldivian Democratic Party (MDP)’s President, Abdulla Shahid, stating that the present administration has only expended MVR 300 million on developmental projects within three months while the former government had expended funds of MVR 1.7 billion across this same period during the beginning of their tenure.

President’s Office ascertained that despite the lower expenditure rates in comparison to the spending of MDP’s former government amid that period this year, the calculations disclosed by Foreign Minister, Abdulla Shahid is wrong.

“The expenditure was higher in 2023 because projects were run at wasteful high-costs,” a senior official of the office stated.

During a video message posted during his visit to Raa atoll Raiymandhoo for the election campaigns, Shahid stated that the island's water and sewerage systems had been 90 percent concluded when the projects had been stalled with the assumption of this government into office.

He stated that all development for the island of Rathmandhoo has been halted by the State.

However, Minister of Construction and Infrastructure of the present government, Dr Abdulla Muhthalib has rebuffed this claim, asserting that the work on water and sewerage system in Raiymandhoo was stalled during the tenure of the former MDP government. “Only 26 percent of work concluded after two years of signing,” he remarked.

The government said that despite the value of the water and sewerage project of Raiymandhoo standing at MVR 39 million, the administration of MDP had allocated only MVR 3.3 million for the project.

Construction Minister Muththalib further maintained that appointing Fenaka Corporation Limited to establish water and sewerage system in multiple island while they lack the capacity to perform the task is negligence by the former president Ibrahim Mohamed Solih in facilitating essential water and sewerage services to the people of these islands.

While 90 percent of the construction of the new power house in Raiymandhoo has been concluded, the current government insists that the agreement for the project was annulled during the former government’s administration, on July 12 last year.

Speaking with Mihaaru News last Wednesday, President Dr Mohamed Muizzu had assured that various developmental projects have been recommencing.

The President said that many projects in various islands were halted on November 17 last year due to unsettled payments when this government assumed office.

“There may be sewerage system works halted in an island. We did not halt it. The company is unable to proceed work due to unsettled payments. What we are doing is settling such pending bills and resuming their work. We are mobilizing them.” stated the President.

“Work has commenced in many islands like this.”

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