Hajj Corporation should avoid guesthouse business, Zameer says

Finance Minister Moosa Zameer on Tuesday expressed concerns over the Hajj Corporation's decision to venture into the guest house business, emphasising that such initiatives may not align with the corporation's primary objectives.

The remarks came during a parliamentary sitting in response to a query posed by Velidhoo MP Mohamed Abbas.

Abbas questioned the implications of the Hajj Corporation's plan to build a city hotel in K. Maafushi and invest in "halal tourism." The project, intended to promote a niche tourism segment, has sparked debates about the corporation's role and its financial strategy.

In response, Zameer suggested that the Hajj Corporation’s board and shareholders critically evaluate whether operating guest houses is the most effective use of its funds. 

“Companies like the Hajj Corporation are primarily responsible for managing the funds they receive. If there is excess capital, it would be more prudent to engage specialists to manage these funds,” he stated.

The minister further stressed that government-owned companies should focus on their core mandates. He noted that several state-owned enterprises are already involved in the tourism sector, and additional involvement may not yield favourable outcomes.

“All government-owned companies building guest houses and resorts will not produce good results,” he added.

Zameer’s remarks highlight a broader discussion on the optimal utilisation of state resources and the strategic direction of government-owned enterprises. While the Hajj Corporation’s investment in halal tourism aims to diversify revenue streams and cater to a growing market, critics argue that such moves may divert the corporation from its core mission of facilitating Hajj and Umrah services.