Tuesday 22nd Oct 2024
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People's Majilis

Manadhoo MP Husnee Mubarak Raises Concerns Over High Government Rental Costs for Private Buildings

Manadhoo MP Husnee Mubarak has expressed deep concern over the significant financial burden the Maldivian government faces in renting private buildings to house government agencies. Speaking during the parliamentary debate on the Public Accounts Committee's report, which reviewed the 2025 budget presented by the Auditor General’s Office, Mubarak emphasized the escalating cost of these rentals and the need for reform.
According to Husnee, the reports submitted to Parliament reveal that a substantial portion of the state's budget is spent on renting buildings for governmental functions. Many agencies have repeatedly raised concerns about the rising costs, especially when faced with the need to relocate due to operational constraints or damage to the buildings they currently occupy.
Specifically, the Audit Office is one of the entities grappling with such challenges. Currently operating from two separate buildings, the office has reported high annual rental costs, with one building, Star Cloud, costing MVR 7.6 million in rent per year. The second building, already suffering significant structural damage, is slated for replacement following a directive from the Ministry of Construction. As a result, the Audit Office anticipates even higher rental expenses if they are forced to move to a new building in the coming year.
Mubarak highlighted the need for long-term planning to ensure that government offices are housed in state-owned buildings, which would not only cut down on rental expenses but also curb the alleged corruption linked to the renting of private properties. He voiced concerns over certain private buildings being rented out to favor specific individuals, accusing such practices of fueling corruption and wasteful state expenditure.
“There is a pressing need for planning far into the future so that government offices can operate from government-owned buildings. Not only would this significantly reduce the budgetary strain, but it would also help curb corruption that arises from renting private properties,” Mubarak said.
The Public Accounts Committee's report also noted that, in addition to the Auditor General's Office, other government offices face similar challenges. The Northern Regional Office, for instance, is currently operating in cramped conditions, prompting the need to budget for a new rental space in 2025.
Mubarak stressed the importance of addressing this issue proactively, as the country’s financial resources could be better spent on critical development sectors rather than on escalating rental costs. The Auditor General’s Office has budgeted for the potential relocation and associated expenses in the upcoming fiscal year, highlighting the need for careful fiscal planning to address these recurring issues.