Hulhumale municipal services transfer faces delays
According to Fazul, HDC has met with Male’ Mayor Adam Azim and Deputy Mayor to discuss the transition.
Hulhumale’s municipal services, previously managed by the Housing Development Corporation (HDC), were slated to be transferred to the Male’ City Council at the start of this year. Despite assurances from HDC’s Managing Director Ibrahim Fazul Rasheed that the corporation is ready to facilitate the transfer, the process has been stalled due to financial challenges faced by the city council.
Speaking at a press briefing, Fazul emphasised that HDC has no objections to the transfer of municipal services. However, he clarified that commercial areas in Hulhumale would remain under HDC's jurisdiction, a decision that has sparked debate.
According to Fazul, HDC has met with Male Mayor Adam Azim and Deputy Mayor to discuss the transition. The main issue raised by the council was the financial strain of taking over municipal operations in Hulhumale’.
“Hulhumale 1 and 2 present a significant financial burden,” Fazul stated. “HDC has been managing municipal services with substantial employee involvement. The city council is preparing to take over, but financial difficulties are causing delays.”
Despite these challenges, Fazul reassured that HDC is committed to supporting the transition. The President had previously outlined a timeline for the transfer, stating that all offices, machinery, equipment, municipal lands, and staff would be handed over within one month, and that staff salaries would be maintained for the next year.
Mayor Azim expressed concerns over HDC’s decision to retain commercial lands in Hulhumale, which could have provided a vital source of revenue for the city council. The lack of such assets leaves the council without a sustainable financial base to manage the services effectively.
This issue has been a point of contention since the 2021 council elections. The ruling Maldivian Democratic Party (MDP) had pledged to transfer Hulhumale’s municipal affairs to the city council. However, with the MDP losing the council majority in the election, the promise remains unfulfilled.
