Gov’t Faces MVR 11 Billion Loss from ‘Binveriya Scheme’, Reveals AG Office

The Auditor General’s Office has revealed that the Housing Development Corporation (HDC) incurred a loss nearing MVR 11 billion due to the issuance of free plots under the previous government’s ‘Binveriya Scheme’.

The Auditor General’s Office noted that the government had committed to paying MVR 10.5 billion to HDC for the plots distributed through the scheme, which included several plots in Hulhumale’.

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To compensate for the revenue losses, the former government allocated two lagoons, Galufalhu and Maagirifalhu, each valued at MVR 3.3 billion, to HDC. The report also mentions that the government has instructed HDC to reach an agreement with the Ministry of Finance to settle the remaining land costs, which amount to MVR 7.7 billion.

The former government’s decision to issue free land to Male’ citizens was met with criticism from both the public and political opposition. The scheme was launched by former President Ibrahim Mohamed Solih, who argued that it would address the housing difficulties faced by Male’ citizens.

During the first round of the scheme, the government announced it would issue 9,003 plots among the 18,955 eligible recipients.