Gov’t Terminates Hextar Deal, Reviews Proposals for Council Buildings
The government signed an agreement with Malaysia’s Hextar Global earlier this year to build council offices on 55 islands | Photo: Ministry of Cities, Local Government and Public Works
The Maldivian government has terminated its agreement with Malaysia’s Hextar Global for the construction of council office buildings across 55 islands, only six months after the contract was signed. The project will now be reassigned to a new contractor.
In a statement shared on X, the Minister of State for Local Government, Adam Shareef Umar, explained that the agreement signed on 20 January was cancelled after Hextar Global failed to accept modifications proposed by local councils.
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55 ކައުންސިލް އިމާރާތް އެޅުމަށް ހެކްސްޓާއާއެކު ސޮއިކޮށްފައިވާ އެއްބަސްވުން ވަނީ ބާތިލްކޮށްފައި. އެއީ ކައުންސިލްތަކުން ހުށަހެޅި ބަދަލުތައް އެކުންފުނިން ބަލައިނުގަތުމުން. މިއެއްބަސްވުން ބާތިލްކުރުމާ ގުޅިގެން އެކުންފުންޏަށް ބަދަލެއް ދޭކަށް ނުޖެހޭނެ.— Adam Shareef Umar (@Adamshareefz) July 6, 2025
The Minister clarified that the project, which was to be carried out on a contractor-finance basis, was terminated without any compensation being owed to the company. The initial agreement had been signed by the Ministry’s Permanent Secretary, Dr Fathimath Muna, and the Managing Director of Hextar Maldives, Ali Shareef.
Following the cancellation, Adam Shareef confirmed that the Ministry has already received new proposals from other companies and is currently reviewing them. He added that the aim is to reassign the project to a Maldivian contractor.
Earlier this year, the Minister had indicated that construction work would commence in April; however, this deadline passed without progress. Had the original schedule been maintained, the Ministry anticipated the completion of the buildings within two and a half years.
