MP seeks answers over prolonged grounding of Airbus A330
The letter calls on the Parliament’s Finance Committee to seek explanations from Island Aviation, which operates the national carrier Maldivian.
A request has been submitted to Parliament seeking clarification on the prolonged grounding of the largest aircraft in the national fleet, an Airbus A330 operated by Island Aviation.
The request was made by Maavah MP Ahmed Shakir of the Maldivian Democratic Party (MDP) in a letter addressed to Parliament Speaker Abdul Raheem Abdulla. The letter calls on the Parliament’s Finance Committee to seek explanations from Island Aviation, which operates the national carrier Maldivian.
In his submission, Shakir cited a continued decline in Island Aviation’s gross profit margin as reported in the company’s quarterly financial statements. The reported figures show a reduction of 44 per cent in the first quarter of 2024, 35 per cent in the second quarter of 2024, 32 per cent in the first quarter of 2025, and 24 per cent in the second quarter of 2025.
Based on these figures, Shakir requested the company to provide explanations on 12 specific issues. These include the reasons for the decline in gross profit margins, rising operational costs without corresponding revenue growth, and whether the company’s aircraft are being used efficiently.
The letter also asks why the Airbus A330 remained grounded for a total of six months, how much revenue was lost during that period, and the financial impact of the aircraft being grounded in Dhaka, Bangladesh, from 10 September for an extended period.
Shakir further questioned the suspension of charter operations to China following the grounding of the aircraft, the need for repeated grounding for maintenance within short intervals, and whether the aircraft is undergoing extensive checks due to technical issues.
He also raised concerns over aircraft utilisation, noting that an aircraft of this size typically requires around 360 flight hours per month for efficient operation, while the reported average utilisation stands at 121 hours. The letter asks how the company plans to address this gap, particularly with charter operations to China largely halted.
Other questions relate to the sustainability of operating a second wide-body aircraft amid reported losses, projections that annual losses could reach MVR 500 million, the total loss incurred by the company during the year, and the amount of public funds spent on the project.
Shakir also sought clarification on how the company finances the monthly lease cost of approximately USD 350,000 for the aircraft, in addition to staffing and operational expenses. He further asked why sales and marketing expenditure increased significantly in the fourth quarter of 2024 and the first quarter of 2025, as reflected in the financial reports.
