Fushidhiggaru Falhu Project Removed from State Budget for 2024

The parliamentary budget committee has opted to exclude the Fushidhiggaru Falhu project from the proposed state budget for the year 2024.

The committee unanimously approved the state budget, totaling USD3.2 billion, incorporating several amendments that included an additional allocation of USD20 million. This adjustment came after a thorough review of project funding, resulting in decreases for some initiatives and increases for others.

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During the committee stage, the allocation of USD26 million earmarked for the Fushidhiggaru Falhu reclamation project was notably eliminated. The funds originally designated for this initiative have now been reallocated to other projects under the Public Sector Investment Programme (PSIP).

The proposed state budget allocates USD558 million to PSIP, with USD71 million dedicated to new projects and USD402 million allocated for the continuation of 449 ongoing projects. Notably, the Fushidhiggaru project had initially received the largest share of funds for the commencement of new PSIP projects.

Parliamentarian Yaugoob Abdulla proposed the changes to the PSIP projects, which were subsequently approved by the committee. During the committee meeting, comprehensive details regarding the budgetary adjustments and alterations in project scope were presented.

The Fushidhiggaru project, a pivotal initiative in President Dr. Mohamed Muizzu’s plan to address the housing crisis in the Greater Male’ Region, involves the reclamation of 1,280 hectares in Fushidhiggaru Falhu. The ambitious project aims to allocate 11,000 land plots and 26,000 flats in the area, connected by a bridge and a high-speed ferry service.

Muizzu had pledged to commence reclamation within his first 100 days in office as part of his commitment to ensuring housing for all citizens. 

However, the recent removal of the project from the state budget raises questions about the timeline and execution of this housing initiative.