Housing Minister Urges Consideration of Circumstances in Social Housing Rent Determination

Minister of Construction, Housing and Infrastructure Dr Abdulla Muththalib has stated that the most appropriate way to determine rent for flats under social housing is to consider the individual circumstances of tenants.

Speaking at a press conference held by the Housing Ministry at the President’s Office, Dr Muththalib explained that rent for social housing units is currently determined under a uniform “blanket” system. He noted that while this approach is administratively straightforward, it is not the most effective method.

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Dr Muththalib highlighted that the current blanket rent reduction is aimed at assisting those in need and was implemented due to the difficulties of targeted subsidisation. He suggested that, in the future, a system that more accurately targets tenants based on their circumstances would be preferable.

The minister also addressed recent criticism surrounding the government’s decisions to forgive fines for Hiyaa Flats and reduce rent and down payments for Fahi Flats. He explained that when the current administration took office, a significant portion of Hiyaa Flat rent remained unpaid, resulting in accumulated debt for tenants. The government has also lowered interest rates on loans for Vinares Flats and facilitated the completion of Hiyaa Flats.

Dr Muththalib emphasised that forgiving fines provides tenants with an opportunity to pay outstanding rent and reduce debt, which in turn allows the government to receive funds owed. He noted that if rents had been paid on time, the current situation could have been avoided.

No Issue in Providing Free Plots to Male’ Residents

Dr Muththalib also addressed the issue of granting free state land, stating that if free housing is provided to islands, it should similarly be available for Male’ residents without housing. He clarified that his previous comments in Parliament were intended to highlight the challenges of long-term free housing provision, not to oppose it entirely.

The minister explained that reclaimed land is provided at substantial government expense and that plots on islands are often granted even before reclamation is complete. He stated that, in principle, Male’ residents should be afforded similar opportunities.

According to Dr Muththalib, granting state land has historically been a common practice and is regarded as a fundamental right of housing. He noted that 15,000 plots are planned from an 11,000-hectare reclamation project. While acknowledging the higher cost of land in Male’, he stressed that developing plots and providing housing would bring economic benefits and support families.

Dr Muththalib reiterated that the government’s policy is to provide free housing to those unable to afford it, while individuals who can afford prime locations are expected to purchase plots.