The government has secured land and financing for housing projects that could deliver 10,700 units in the Greater Malé region, Housing Minister Dr. Abdulla Muththalib said Tuesday, as the administration faces rising public pressure over housing shortages in the country’s most densely populated urban zone.
Speaking at a press briefing held at the President’s Office, Muththalib said physical work has already begun on 3,260 flats in the Malé area. He said additional projects include 540 housing units financed by the Bank of Maldives, 500 units to be developed through an interest-free loan arrangement, and 400 flats supported by the Saudi Fund.
The minister also said preparatory work has been finalised for the construction of 4,000 housing units in Gulhifalhu under India’s Line of Credit. All of these projects, he said, have secured financing.
Muththalib said the government is also preparing a separate affordable housing model under which land would be provided free of charge and incentives offered to developers, with the condition that flats are sold at a controlled price. Under that framework, the government has decided to develop 2,000 flats, and local companies have already expressed interest after the opportunity was opened.
The proposal has been submitted to the Economic Council for approval to proceed with signing and implementation, he said. Discussions are also under way for another 1,000 flats.
Abdulla Muththalib says land constraints, including airport flight-path height limits in Hulhumalé Phase III, have reduced the number of units that can be built from an earlier estimate of 12,000.
Taken together, the ongoing and planned projects amount to 10,700 units. The figure is lower than the 12,000 units previously cited by the minister as the number that could be developed on available land in the Greater Malé area.
Muththalib said the reduction was mainly due to height restrictions in Hulhumalé Phase III, where part of the planned development area falls within the flight approach path to Velana International Airport. Areas previously assessed for 17-storey buildings can now be developed only up to 14 storeys, following guidance from civil aviation authorities.
“Based on the land available in the Malé region, we had previously estimated that 12,000 housing units could be built,” Muththalib said. “However, part of Phase III falls within the airport flight path, and the permissible building heights have changed. In areas where we had earlier considered 17 storeys, Civil Aviation has now informed us that buildings may only go up to 14 storeys.”
As a result, the minister said, the Housing Ministry currently does not have land available to build beyond the 10,700 units now planned.
“In reality, the ministry does not presently have land to construct more than 10,700 units,” he said.
Muththalib said the ministry is working with the Housing Development Corporation to identify additional land. He added that officials are also reviewing available land within Malé and the wider Greater Malé area to determine whether more housing projects can be accommodated.
“The ministry is discussing with HDC to see whether additional land can be made available,” he said. “At the same time, we are also examining land in the Malé region, including in Malé itself, to identify sites where housing can be developed.”
The minister also disclosed application figures for the government’s first housing scheme, which includes plots and flats. He said 37,000 forms have been submitted so far, including draft applications. The deadline for applications is the end of this month.
The figures underline the scale of unmet housing demand in the capital region, where limited land, high rents and rapid urban concentration have made housing one of the Maldives’ most politically sensitive domestic policy issues. For the government, the challenge now is not only to announce new units, but to convert financing commitments, land allocation and planning approvals into completed homes at prices ordinary families can afford.
