Nazim Blames Former Management for Fatal Landing Craft Accident

Deputy Speaker Ahmed Nazim has blamed what he described as poor management decisions by the former administration for the financial deterioration of Maldives Ports Limited (MPL), saying the company’s weakened state contributed to the recent fatal accident at Malé Harbour. 

Speaking during the 2026 budget debate, Nazim said MPL had once been financially strong but was now unable to invest in essential infrastructure upgrades due to mismanagement in previous years, which he linked to the conditions that led to two deaths when a landing craft capsized.

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MPL, in an earlier statement, said the 2 November incident occurred because the landing craft was being captained by an unlicensed individual. The company stated that the vessel capsized after the individual requested that an excavator be moved to one side, causing it to lose balance.The two people who died were employees of the company — one Maldivian and one expatriate.

Nazim told MPs that the keywall alongside the berth was not strong enough to support the weight of the excavators, forcing MPL to offload the machinery directly onto a landing craft from the cargo ship. He said this operational vulnerability contributed to the tragic incident, which resulted in two deaths and raised significant national security concerns.

Dhiggaru MP Nazim noted that MPL is currently under review for what he described as improper management practices. Although he did not specify which parliamentary committee was handling the investigation. He himself sits on the Committee on National Security Services, the Public Accounts Committee and the Budget Review Committee.

MPL in a statement sighted that 2 November incident due to the landing craft was being captained by an unlicensed individual and that the landing craft capsized due to the individual requesting an excavator be moved to the side. 

According to Nazim, parliamentary findings show MPL maintained a strong financial position between 2015 and 2019. However, the company’s finances deteriorated after it undertook the construction of employee housing towers in Hulhumalé Phase 2. The project was initially intended to be funded by a contractor, but when the contractor failed to secure financing, MPL opted to take loans on behalf of its staff—a proposal he said was rejected by the then-administration. As a result, MPL used its own funds to continue the project, significantly impacting its liquidity.

Nazim added that MPL had previously been wealthy enough to finance major national projects, including providing MVR 100 million to the Housing Development Corporation (HDC) for land reclamation in Thilafushi. He argued that poor decisions made under the former administration had left MPL without the capital needed for service upgrades or broader development.

Turning to the state budget, Nazim highlighted that no new taxes had been proposed for 2026, prompting questions from the opposition about how the government planned to raise national revenue. He said the administration intended to strengthen tax collection mechanisms instead, while economic growth was expected to benefit from the newly opened terminal at Velana International Airport.

Nazim also noted that the Maldives Inland Revenue Authority (MIRA) faced legal challenges that hindered its operations, but said the government was working to resolve these by updating and introducing relevant legislation. Reforms to investment laws, he added, were underway to facilitate foreign investment and improve the business environment.