In a striking indication of the demand for housing facing the Maldives, the government has received over 37,000 applications for its inaugural housing project, the Minister of Infrastructure, Housing and Urban Development, Dr Abdulla Muththalib has revealed.
Speaking during a press conference held at the President's Office, Minister Muththalib said of these 20,000 formal applications have been submitted while an additional 17,000 remain in the application process. The Minister emphasised that these figures reflect the severe housing shortage gripping the nation, describing the overwhelming response as evidence of the urgent need for residential accommodation among the population.
The application window for land and flats under this landmark housing initiative is set to close this month, and eligibility has been restricted to couples who currently own neither a home or land. Minister Muththalib noted that even with this controlled application process, the sheer volume of submissions demonstrates the extent of housing deprivation in the greater Male’ region.
"These numbers show the number of people in need of housing," he said, underlining that the programme specifically targets those most vulnerable in the housing market.
The Minister used the occasion to provide a comprehensive overview of housing initiatives undertaken by successive governments since 2008, highlighting both the progress made and the challenges that persist. Previous administrations completed notable projects including 1,000 flats constructed with financing from China's Exim Bank, 1,500 units built by Tata, and 180 flats developed by Coralville. When the incumbent president Dr Mohamed Muizzu was the housing minister, more than 10,000 flats were constructed, comprising 407 units in the "pink flats" in Hulhumale’, 7,000 flats under the Hiyaa project, 1,344 flats in Vinares, and over 1,000 additional units built by state-owned enterprises. An additional 4,000 flats that were initiated by the previous administration but completed by the current government were also included in this tally.
According to Minister Muththalib, the current administration has initiated construction of 3,260 flats throughout the capital region, with funding coming from multiple sources. The Bank of Maldives (BML) is financing 540 housing units, while 500 units will be constructed through an interest-free loan programme. International assistance continues to play a significant role, with 400 flats receiving assistance from the Saudi fund and 4,000 housing units being developed under the Indian Line of Credit. The Minister acknowledged that while all projects are now funded, implementation has not proceeded at the desired pace, partly due to the challenging financial circumstances the government inherited upon taking office.
"When this government took office, the government was in debt and it was difficult to obtain loans and funds from foreign countries," Minister Muththalib explained, providing context for the delays that have frustrated many applicants awaiting allocation.
Despite these constraints, the Ministry has allocated a total of 10,700 flats for the current housing project, of which construction has already commenced on 3,260 units. The government had initially estimated capacity for 12,000 housing units in the city area, but available land has limited the programme to the current figure.
"In fact, there is no land available for further construction at the moment," the Minister conceded.
However, he revealed that the Ministry is actively collaborating with the Housing Development Corporation (HDC) to repurpose land currently allocated for other uses, potentially unlocking additional space for residential development. Earlier plans to construct 17-storey housing units in the third phase of the project have also been adjusted following guidance from the Civil Aviation Authority, which determined that buildings must not exceed 14 stories in height.
In a promising development, private sector interest in affordable housing construction remains strong. Minister Muththalib reported that numerous Maldivian companies have applied to participate in projects to construct housing at controlled prices, provided the state continues to offer free land and appropriate incentives. This proposal has been submitted to the Economic Council for consideration, with discussions underway regarding the construction of an additional 1,000 flats through such public-private partnerships. The Minister emphasised that the government is working to facilitate these arrangements as part of broader efforts to accelerate housing delivery.
The administration has also moved to develop areas where land has already been allocated to the public, including the third phase of Hulhumale’ and Gulhi Falhu. The Minister affirmed the government's commitment to developing these locations and providing residents with viable pathways to permanent habitation.