Khulhudhuhfushi, Maldives — The government says it will revive a long‑stalled housing project in Khulhudhuhfushi, pledging that construction on 2,000 new units will begin before the end of the year.
The announcement came during a campaign rally of the People’s National Congress (PNC), where Dr. Abdulla Muththalib, the Minister of Housing, Land and Urban Development, said the project had been formally transferred to the state‑owned Housing Development Corporation, or HDC. The corporation is now seeking contractors to take over the work, he said.
“We are very confident that the work will start within this year and the announcement will be made within this year,” said Abdullah Muthalib, who addressed the rally.
The project has been politically sensitive in Khulhudhuhfushi, a northern hub that residents often describe as the region’s de facto capital. The island serves as a centre for education and health services, and officials say the acute shortage of housing has become one of its most persistent challenges.
In his remarks, the minister criticized the previous administration’s handling of the project, saying it was awarded in July 2022 to a company owned by a former lawmaker from the Maldivian Democratic Party. According to the minister, the firm received an advance payment of 65 million rufiyaa and an additional 21 million rufiyaa tied to reported progress.
But when the government changed hands 18 months later, only 18 percent of the work had been completed, he said. Negotiations with the contractor failed, and the contract was cancelled in mid‑2023.
“God willing, the HDC will find people to work on behalf of the HDC by March at the latest,” the minister said, adding that all administrative arrangements for the restart would be completed within the same timeframe.
The pledge comes as the government intensifies its campaign efforts in the northern atolls, where housing shortages and stalled infrastructure projects have become recurring themes in political rallies.
For Khulhudhuhfushi residents, the renewed promise offers a familiar mix of optimism and caution.