“Previous administration designated projects to islands for political gains”

Minister of Construction and Infrastructure Dr. Abdulla Muththalib has criticised the previous administration for including numerous island-based projects in the state budget for political gain, aiming to secure re-election. According to the minister, many of these projects were added solely to please residents, but lacked sufficient funding for actual implementation, leading to several unresolved issues. The previous administration included 322 projects in the 2024 state budget, with a total estimated cost of USD 2.5 billion. However, only USD 233 million was allocated for infrastructure development, leaving a significant funding gap. Minister Dr. Muththalib warned that if this pattern continues, many projects will remain unexecuted for years to come. Minister Dr. Muththalib pointed out that while the previous administration included a high number of projects in the budget, there was insufficient funding to carry them out. He criticised the practice of approving budgets based on political considerations rather than realistic financial planning. This observation was echoed by several parliamentarians, who noted that the 2024 budget appeared to be designed to appease voters in anticipation of re-election. Speaking at a programme aired on PSM News, Minister Dr. Muththalib stated that the lack of finances for projects in this year’s budget posed several challenges to the current administration. He stressed that the budget failed to prioritise the needs of residents, and warned that the government’s inability to initiate new projects could erode public trust. The 2025 state budget, however, takes a different approach. Minister Dr. Muththalilb stated that it does not include new projects for specific islands in order to focus on completing ongoing projects and addressing the most urgent needs of residents. The upcoming budget allocates a total of USD 778 million for infrastructure development, including USD 324 million for large-scale projects supported by international partners, USD 259 million for ongoing initiatives, and USD 233 million for planned new projects. A significant portion of the Public Sector Investment Programme (PSIP) is directed towards addressing the housing crisis, which the government has identified as the country’s most pressing social challenge. As part of this effort, USD 97 million has been earmarked for new housing projects.