Public questions rent penalty waivers at Hulhumalé meeting

A member of the public has asked President Mohamed Muizzu not to forgive rent payments or penalties related to social housing flats.

The request was made during a meeting between the president and residents of Hulhumalé Phase I on Sunday. The comments followed the government’s decision to waive penalties amounting to more than MVR 1 million for non-payment of rent on Hiyaa flats in Hulhumalé Phase II. The waived penalties cover arrears accumulated from last year up to the previous month and total MVR 1.2 million.

Addressing the meeting, the resident said the country had lacked long-term planning for decades and expressed concern over the absence of a clear direction for development.

He then asked the president not to waive the rent or penalties applicable to his own flat. He said applicants accepted the terms of the housing scheme with full knowledge of the monthly rent and the penalties for non-payment.

“The agreement clearly states the rent that must be paid each month and the penalty for failing to do so,” he said. “Do not forgive my rent. Do not forgive the penalty if I fail to pay.”

He added that obligations under contracts should be upheld and that penalties should apply where conditions are not met. He said any reduction in rent, if considered due to public pressure, should be applied equally across all social housing projects in the Maldives.

Penalties for non-payment of rent were also waived in 2023. The Ministry of Housing had previously said unpaid rent places a burden on the state and warned that action would be taken against tenants who fail to meet payment obligations.

According to figures released by the Housing Development Corporation (HDC), 3,219 Hiyaa flats are paying rent regularly, while 5,099 flats are in arrears. The corporation said in July that outstanding rent for Hiyaa flats stood at MVR 628 million.