The Ministry of Construction, Housing and Infrastructure has announced that it will begin inspections of social housing flats allocated under the Gedhoruveriya scheme, following reports that several units have been advertised for rent at inflated prices—contrary to the terms of the housing agreements.
The announcement comes just two weeks after the government commenced the handover of keys to recipients of the 4,000 flats developed in Hulhumalé Phase 2 by the Fahi Dhiriulhun Corporation (FDC). According to officials, 78 individuals have received their units so far. However, social media listings have surfaced showing three-bedroom flats advertised for as much as MVR 25,000 per month—more than double the government-subsidised rate of MVR 11,500.
Minister Dr Abdulla Muththalib stated that the government will not tolerate the misuse of public housing, which is funded by taxpayers and allocated at subsidised rates to support vulnerable citizens. He confirmed that any flats found to be rented out in breach of the agreement, or occupied by individuals other than the designated recipients, will be repossessed and the agreements terminated.
“These properties are distributed at subsidised rates, involving significant expenditure of public funds,” the Minister wrote on social media. “Therefore, the government does not approve of these properties being rented out at high prices or being used by individuals other than the original recipients.”
The Ministry is working in coordination with relevant authorities to commence inspections immediately. The FDC has also issued a warning, reiterating that the flats are intended for those in greatest need of housing and that violations will result in repossession.
FDC Managing Director Hamdhan Shakeel echoed the Minister’s stance, stating that the corporation will trace parties involved in unauthorised rentals and take action in accordance with the agreement. He emphasised that the flats are not to be used for profit-making ventures, but to provide secure housing for Maldivians in need.
The agreements signed between recipients and FDC explicitly prohibit subletting. The corporation is authorised to investigate complaints and enforce penalties, including cancellation of tenancy and repossession of the property.
The issue has sparked public outrage, with many citizens criticising the exploitation of a scheme designed to alleviate the housing crisis in Greater Malé. The Gedhoruveriya project is the largest social housing initiative in the country’s history, aiming to provide long-term accommodation to thousands of residents.