The Male' Water and Sewerage Company (MWSC) is set to significantly strengthen its services and streamline operations once it transitions into a 100 percent government-owned entity, the company’s Managing Director, Hussain Fahmy has said.
The announcement follows a press conference by President Dr Mohamed Muizzu, who revealed that the administration has commenced efforts to acquire the privately-held shares of MWSC to bring the company under complete state ownership. The President emphasised that MWSC is a vital utility provider for the public and that this transition is part of a broader government initiative to reform State-Owned Enterprises (SOEs), making them more efficient, financially viable, and cost-effective.
Currently, 20 percent of MWSC’s shares are held by the Japanese multinational Hitachi. Speaking in an exclusive interview with PSM News, Fahmy explained that the presence of a third-party shareholder has historically created major financial bottlenecks, particularly when attempting to secure large-scale credit or loans for development.
"Right now, this company cannot secure large loans. Even if the government wants to assist, having a third party involved makes it difficult. Therefore, becoming a 100 percent government-owned company offers us massive advantages," he explained.
As a key example of these financial hurdles, Fahmy pointed to the Thilamale’ Bridge project, for which MWSC requires around USD 20 million. Under the current structure, borrowing such an amount by mortgaging company assets is highly impractical. According to Fahmy, transitioning to full state ownership is the most viable solution, as it will pave the way for direct government investment and sovereign backing.
Fahmy insisted that transforming MWSC into a fully state-owned enterprise is the most critical step to resolving its current structural challenges. Once the transition is finalised, the company expects to accelerate the pace of its ongoing public projects and rapidly upgrade its utility infrastructure across the country.