Maldives Transport and Contracting Company (MTCC) has stated the government’s revised policy on subsidies has helped to ensure the company can strengthen its public transport service.
Speaking at a press conference, CEO of MTCC Adam Azim said the company had previously been operating its public transport services at a loss as the subsidization policy of the government was to provide cross subsidies. However, Azim said the government now provides direct subsidies for the losses, helping the financial operations of the company and paving way for a better public transport service. He said the government has ensured MTCC will not be forced to undertake any project or service in a way the company suffers losses.
The main source of MTCC’s income is infrastructure. The company conducts various construction projects across the Maldives, including the development of harbours, airports, roads and land reclamation.
MTCC also provides public transport services in the Male’ Region and various atolls upon the request of the government, although the company does not generate profit from these operations.