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Giraavarufalhu reclamation awarded expensively, no funds allocated

Minister of Construction and Infrastructure Dr. Abdulla Muththalib has shed light on the challenges faced due to the previous government's handling of the Giraavarufalhu land reclamation project, which led to delays and financial complications. During a media address, the minister outlined various projects and initiatives undertaken by the ministry.

Minister Muththalib expressed concern over the high cost of the project, revealing that the previous government had awarded the reclamation project to contractors without ensuring proper payment arrangements. He explained that while an agreement was in place to reclaim 160 hectares of land, the government was supposed to pay USD 50 million upon completion of reclamation of the first 50 hectares. Subsequent payments were to be arranged by the contractors, with the government repaying the loan in installments.

However, despite the completion of the initial 50 hectares, the government failed to pay the USD 50 million as stipulated in the contract, leading to delays as contractors demanded expedited payments. Minister Muththalib emphasised that a substantial amount of USD 30 million remained unpaid, but reassured that efforts were underway to rectify the situation and make the payments promptly.

Regarding the Thilamale' bridge project, Minister Muththalib noted that it commenced without proper agreements or contracts under the previous administration. He highlighted the current government's commitment to completing the project efficiently and emphasized its priority in the development agenda. Additionally, he mentioned plans for a bridge connecting Giraavarufalhu and Gulhifalhu following the completion of the Thilamale' bridge.

President Dr. Mohamed Muizzu has announced plans to reclaim an additional 50 hectares of land, expanding on the initial 160 hectares designated for the project.