Reclamation Resumes for Maldives' Largest Housing Project, Rasmalé

Reclamation work on the Rasmalé Project, the Maldives’ largest housing development project, resumed on Sunday after several months of delay. The project, led by the current People’s National Congress (PNC) administration, seeks to reclaim 1,153 hectares of land from K. Fushidhiggaru Falhu and construct 30,000 social housing units, primarily with Chinese support.

Originally launched on December 18, the project’s reclamation phase was expected to conclude within eight months. However, progress stalled, and the initial contractor, Sri Lanka’s Capital Marine and Civil Construction Company (CMC), saw its agreement terminated. According to the initial contract, CMC would finance the reclamation in exchange for a long-term lease of 70 hectares of land across Hulhumale’ and Rasmalé. The administration later pivoted, seeking a financial arrangement without land allocation in return.

In January, Housing Minister Dr. Ali Haidar announced during a visit to China that the Maldivian government had secured Chinese support for the construction of the planned social housing units in Rasmalé. The project has been allocated MVR 600 million in the 2025 state budget, with an additional MVR 350 million planned for 2026.

However, the Rasmalé project has faced opposition from the Maldivian Democratic Party (MDP), which argues that public funds would be better directed to the Binveriya scheme—a project through which thousands of Maldivians have already been awarded land plots in Hulhumale’, Gulhifalhu, and Giraavaru Falhu.