Do you trust the Majlis to act responsibly?

Among the three powers of the state, parliament has the singular role of representing the people. So if the parliament – or People’s Majlis in the Maldives context – does not enjoy the confidence of the people, its locus standi becomes shaky.

The role of People’s Majlis came to sharp focus when it recently decided to take a recess while important legislation was pending before it regarding the general elections slated for February. The Commissioner of Elections, among others, has deplored this move saying it could jeopardize holding the elections within the constitutional deadline, possibly throwing the country into a constitutional void.

People are also concerned at the composition of the current Majlis, with its disproportionately high representation of people with direct and indirect interests in the tourism industry. These concerns are particularly acute at this time because of another piece of legislation currently before the Majlis – that to extend resort release to 50 years. Perceiving a conflict of interest in this issue, some are of the opinion that an issue such as resort lease, which would affect even future generations, must be decided through a referendum rather than a simple majority vote in the Majlis.

A salary of 62,000 rufiyaa and a total take home package of about 100,000 rufiyaa may be quite reasonable from the point of view of the many business magnates in the Majlis. However, from the point of view of the average Maldivian whose take home pay averages less than 5000 per month, it may appear a bit excessive, particularly considering the working hours.

In a democracy, the parliament is supposed to act as a watchdog over the other two powers. Conversely those two are supposed to similarly keep an eye over the parliament. This is theory. The question is does this work in the Maldives context?

Celebrating Defeats

We Maldivians appear to be collectively suffering from a rare streak of masochism. We have a strong tendency to celebrate our defeats and disasters.

Take the example of the tsunami, which we celebrate as ‘National Solidarity Day’. Notwithstanding the spontaneous outpouring of sympathy and support for the victims in the immediate aftermath, what happened later was anything but solidarity, especially the feuds that developed between refugees and host communities. Even at the national level, the government has failed to settle the victims even after four years, despite the availability of funds.

So why then, one wonders, do we celebrate December 26th each year as ‘Solidarity Day’ of all things? If it is to encourage positive qualities like sharing each other’s problems, then we could have chosen something less hypocritical. Building on a foundation of lies may not be the best way to develop positive qualities.

Take also the 3rd of November, which we celebrate as Victory Day. What victory? The leaders simply went into hiding leaving the people at the hands of mercenaries, till the Indian Army came and rescued us. Sure, Hussein Adam and a few others sacrificed their lives for the nation, and we remain grateful to them. [I also received and ‘Addana’ for what I did on that day.] But does it qualify that day to be a Victory Day?

Now we come to the Martyrs Day, which remembers the untimely death of King Ali the 6th. Apart from folklore we really don’t know what exactly happened to him. In trying to glorify the king, the story labels all the citizens of Male as cowards. So what are we celebrating on Martyr’s Day?

To complete the list of disasters to celebrate let us think of some more. We can celebrate the sinking of Enama Boat as National Maritime Day. Civil Aviation Day can be celebrated on the day Air Maldives declared bankruptcy. Child Rights Day could be celebrated on the day Naseem Soa case surfaced. Health Day could be changed to coincide with either the Cholera epidemic or Dengue epidemic. Any more ideas?

Civil Service and Job Security

When the Civil Service was instituted it was hyped to provide job security to the 35,000 odd government employees in the Maldives. They were promised protection from politically motivated and arbitrary dismissals. Join the Civil Service and assure a lifelong career, they were promised. But today hundreds of civil servants under threat of dismissal from 'redundant' government offices are wondering where the promises and assurances have gone.

Whatever its faults – be it discrimination, favoritism or nepotism – Maumoon government rarely practiced arbitrary dismissal from government service. In fact if the Civil Service Commission goes ahead it with the current spate of planned dismissals, the Commission would be responsible for more involuntary dismissals from service in one year than Maumoon in thirty years.

When an assistant secretary who has served faithfully for over 15 years in her job, her only means of subsistence with her two kids, faces dismissal just because her ministry is no longer deemed expedient, it matters little to her whether the dismissal is politically motivated or legalistically justified. What matters to her is she faces destitution tomorrow. What matters to us as citizens is that the State has failed to protect job security for its people.

The Civil Service Law requires employment in the service to be career based. What it means to most people is that once a person chooses a civil service job one is assured job security as well as the opportunity to go up the steps in a hierarchy, provided one performs satisfactorily in one's job. In the Maldives Civil Service things don't work out exactly that way. For example, when a DG position falls vacant, it is openly advertised with no preference given to in-service candidates. Even Deputy DGs in the same department will have to compete for the job with all those who apply including fresh graduates. In other words getting the DG post is more or less equivalent to getting a new job. In effect someone in a deputy DG post has two choices: remain in the post for ever or find another job. One wonders how one could call it a career based system.

No one says an unproductive person must be retained in the civil service. But are all those currently under the guillotine unproductive, and if so how does one know? The staff appraisal system is still in its infancy and in most offices appraisal forms are filled mechanically at the end of the period, the same way overtime approval forms are filled towards the end of each month. Can one rely on such appraisals to decide someone's future?

Why do People Blockade Island Offices?

With a democratically elected government coming to power, one would have expected islanders to stop detaining government officials and blockading island offices –a false expectation apparently. If one goes by the recent spate of blockades, climaxing with the detaining of Constructing Minister Aslam, things are getting worse, if anything.

The only redeeming feature in this gloomy scenario is that the current spike could be a passing phenomenon related to the ongoing budget debates in the Majlis. Many of the incidents do indicate a close linkage with the budget, as exemplified by the incident involving Minister Aslam, which was apparently in protest against not including money for the island harbor in the budget.

It may be interesting to find out why islanders continue blockading offices. The widespread use of this method of protest appears to suggest that a significant number of Maldivians believe it to be an effective method. Let us examine some factors that may have led to this belief.

• Often the government is seen to give in to the demands of the protestors. This was particularly so during the last few years of the previous regime. It’s too early yet to judge how the current government will respond to the situation.

• While the Penal Code of Maldives prescribes harsh punishment for kidnapping and obstructing the work of government offices and officials, in practice action is rarely taken against the perpetrators.

• With a history of non-elected officials and nominated committee members controlling island administrations, government officials at island level do not enjoy the confidence of the people.

• There appears to be no alternative method of brining to government attention the issues at island level, since island Katheebs are apparently incapable of doing it.

• For the average islander, the offices provide very few services. Most islanders have rarely visited an island office, except for a few once-in-a-life-time tasks such as applying for a plot of land or dividing a plot. Thus even if an office is closed it causes few problems to an islander.

Privatization: A Panacea for Poverty?

Can anyone think of any failed government enterprise that was privatized and became a success story in the Maldives? Dhiraagu? MWSC? Maldive Gas? Not many people agree that these companies were privatized in the first place. Further, on closer look the success of such organizations may not be related to privatization at all.

A former board member of Dhiraagu says the success of the company was mainly due to the management expertise of the foreign partner, which also had the advantage of a signed agreement with the government through which they were able to control government interference to a minimum. The exclusive monopoly on telephony also helped of course. It’s the same story basically with MWSC.

Will privatization help a company such as STO? A former STO board member doubts it. According to him the main problem with STO during his time was government interference, particularly from relatives of the former president. It was particularly difficult when two very close relatives were vying for influence and giving conflicting commands to STO.

From these examples it appears that the remedy for poor performance is reducing government interference, not privatization. This is exactly what Deng Xiaoping did in China. He did not privatize the village factories, which were the engine of the growth of the rural economy. In fact, they were almost all owned by local governments in Deng’s China. In the cities too, reforms in industry didn’t include privatization at all. What Deng did was cutting government influence from the factories and open them up to market forces. Perhaps we can learn something from his policies.

“It does not matter what color a cat is as long as it catches mice.” –Deng Xiaoping

The Surprise Present

A short story

Hassan was waiting at the jetty for his present. Ibbe had only said it was a packet from Aikko's mother. Hassan couldn't guess what it could be. Perhaps it was actually from Aikko herself, not her mother, Hassan surmised. But why didn't she mention it when he phoned her yesterday evening? May be she was sending him a surprise present, Hassan thought, as he waited expectantly for the transfer launch that will bring Ibbe and the mysterious present to Kaanidhoo Island Resort and Casino.

When Hassan succeeded in the interview to get a waiter's position at Kaanidhoo, he thought it was a dream come true. The resort was super luxury and boasted the world's largest under water casino, the Dome, which rivaled Venetian Macao with its exquisite theme décor. Hassan's dream started fading when he was shown into the room that would be his home for the next 3 years. Far from the glitter of the main gaming floor of the Dome with its constantly spinning roulette wheels, baccarat tables and slot machines, his room was 10 by 10 feet, shared by 3 Bangladeshis sleeping on double decker cots. "And remember," the sad looking guy who escorted him instructed while leaving, "don't step out of the room without your uniform. Don't wander around the rooms. Just take the straight route to the coffee shop and back. And strictly no sea bath. You have no business on the beach."

The personnel manager looked up from a large pile of paper. "So you want leave? You guys always keep on taking leave…"

"But sir," Hassan pleaded, "This is the first time I'm asking for leave…I've been here one and half years…"

"All right, all right. But remember if you are not here on the 10^th, then you need not come. I'll hire another Bangladeshi."

When Hassan landed on Maakandoodhoo jetty, he was greeted by his wife Aikko, Muhamma and his wife Maryan. Muhamma was the son of Ahmed Kaleyfaanu the biggest trader on the island. He was Hassan's childhood friend, and the two couples shared a wonderful time during Hassan's holidays. When it was time to leave Hassan had exhausted all his savings amounting to 3500 rufiyaa. Muhamma reassured him saying if Aikko needed anything she could get it from his father's shop.

"We need to talk again. The old deal is off. Now things are totally different. We got 20 more years. So you will understand we can't give the island for 25 million dollars. We already have offers of 150 million. But we will consider 125 if you are interested," Hassan overheard Ronnie telling the South African guy who was occupying Villa number 27. Ronnie was Kaanidhoo owner Shakeeb's son born of a Canadian mother.

"But Ronnie, this is just a windfall you got out of the blues. You were to lose the island in five years and then suddenly the lease increased to 50 years. Why don't we split 50-50 and settle for 75 million?" the South African offered.

"No way. My last price is 100 million."

"Done," the South African said and stood to shake hands.

The launch arrived. Ibbe handed over the packet and went on his way without a word. Hassan rushed to his room and opened the packet. It contained photos. But before he could see them his attention was diverted by a piece of paper falling. It was a note from Aikko's mother. It read, "I couldn't bear to tell you what my daughter did. But these pictures will tell you the whole story."

Hassan looked at the pictures. They showed Aikko and Muhamma. Hassan's dream suddenly became a nightmare.

[This is entirely a work of fiction. Any resemblance to a real place or person is purely coincidental.]

Violent gangs: Do they come from another planet?

The scenario is all too familiar. A young boy is walking down the street. A group of boys emerge out of nowhere and pounce upon him with sharp knives. Maimed and bleeding the boy makes and attempt to run, falls and collapses. They disappear into nowhere. Its only after they make good their escape, there is any mention of any bystanders, whose role it is to transport the wounded body to the hospital, to be declared dead.

The above description of the death of Samir in Henveiru two days back will fit almost any gang death reported in Male during the last few years. In any of the accounts what is not reported is more striking than what is reported: What was the motive for the attack? Did the victim have a history of gang activity? How and why were these rival gangs created? Is there anyone who sponsors them?

It appears that nobody knows the answer to any of these questions. In fact the parents of the suspected attacker were also not aware of the activities of their son. His mother was so shocked to hear about his involvement in the attack that she has been unconscious since hearing the news, Miadhu Daily reports.

Nobody appears to be interested in doing any research or even find out anything about the gang scene. Will this help or worsen the situation?

Reaching out

The new government has come to power with the promise of 'closing the doors' on entry routes of drugs into the country. About one year back National Narcotics Control Bureau (NNCB) launched a 'Wake Up' campaign to raise awareness on drug abuse prevention. Now the question is who will reach out to the estimated 10,000 to 15,000 drug addicts already on the streets and treat them?

The obvious answer is NNCB. But look at the numbers. The Bureau has capacity to treat a maximum of 400 addicts per year. This is just about 3% of the addict population. What happens to the remaining 97% ? Further, some of the 3% would relapse, thereby reducing the number further. In short probably the number of people cured would be less than the number of new youngsters getting addicted. Thus the numbers would in fact be increasing rather than decreasing. This is borne out by the everyday experience of ordinary people.

What's the solution? Train more counselors? Expand the capacity of NNCB? These are all tried solutions –and not with very impressive results. In fact with a very high attrition rate, the number of NNCB counselors is steadily dwindling. Can you believe your ears when you hear that the Drug Rehabilitation Center in Himmafushi has only 5 trained counselors? Frankly speaking, the pay and perks of a counselor are grossly inadequate for the hazardous work they do daily. Thus, even if training courses are made available not many would apply.

So it is obvious some innovative thinking is required. More resources need to be mobilized –particularly human resources. We can think of volunteers –teachers, nurses, health workers, religious scholars. NGOs can take the lead in organizing the volunteers with support from the government. Only a supreme national effort can save the nation from going under a tsunami of drug addiction.

Can Internal Tourism Reduce Income Disparity?

The eerie silence and the empty streets of Male give a rough idea of how many people left the capital city for Eid holidays. While accurate numbers are not available, a boat captain leaving with 80 passengers bound for Thaa Atoll estimates more than 2000 people are expected to go to that atoll alone, Haveeru Daily reports. Thus one could make a safe guesstimate of between 15,000 to 20,000 local tourists going to all the atolls.

Assuming each tourist spends about 400 rufiyaa per day on accommodation, food, travel within the atoll, shopping etc. the total spending by 20,000 tourists in 7 days of Eid holidays would amount to Rf 56 million. While Eid holidays are an exceptional period, other periods could also attract significant numbers of tourists if internal tourism is better organized –scheduled transport, guest houses, tour operators, etc.

Internal tourism could potentially help to transfer money from the Capital to the peripheral islands and reduce the income disparities between the two areas. According to Poverty and Vulnerability Assessment Report 2004, the median household income was Rf 49 per person per day in Male, compared to only Rf 21 in the atolls. Thus in 2004 incomes in Male were 2.3 times higher than those in the atolls. Worse, the income disparity is apparently increasing. In 1997 Male incomes were only 1.7 times higher.

These inequalities pose significant challenges to the country as a whole. They include rising unemployment, particularly among young people. Many young secondary school graduates, ambitious and with high expectations, are not aiming to return to their island if the only jobs available there are limited to the traditional sectors like fisheries. So if more attractive work is not made available in the islands they are likely to remain in Male, frustrated and disillusioned, leading to social tensions in Male'.

Thus urgent solutions are needed to reduce the imbalances between Male and the atolls. Will internal tourism contribute to the solution?

Extending Resort Lease: What is at Stake

By Ahmed Salih

Why do we Maldivians fear increasing resort leases to 50 years? It is not the type of ownership we are concerned with. It is the influence the owners will exert in running the country. This is the most important resource the country has – nothing to compete or compare with it. Who controls these vital resource controls the country.

It is unlikely, any other industry or any economic activity could match in the foreseeable future with the resorts to have a proper balance in economic power or political power. This balance is becoming more important than ever especially when we march in a democratic environment where funds are required for campaigning.

Need a fact? Look at the parliament now and five years ago. The little balance we had there was because President could then nominate members and politically influence the elections of the parliament members. When this equalizing power is removed in the next election, the majority if not the whole parliament will be controlled by the tourism industry or those industries that feed to tourism industry.

We have already seen what has happened. As his influence was diminishing during the last regime, Mr. Gayoom invited the big guns from the tourism industry to join the cabinet. Messrs Qasim, Deen, Thasmeen and Hilmy were seeing sitting in the cabinet. Some of them had never before seen the working of a government from inside. The others such as universal and Champa played the role of the king makers.

The argument from the president down the line for raising the tenure of the resorts is to generate the funds required for development. This is an old argument. The tenure of the lease period has been increasing since the introduction of the tourism in 1972. In 1970s, the tenure was for 10 years. Then the next government raised the limit to 35 years and collected part of the future rent. This government wants to increase the limit to 50 years and collect some more of the future rent. Leasehold period of 99 years will come. It is not likely that the industry will have to wait for 30 years but only 10 maximum - with the election of the next presidency. Then freehold or ownership will not be much far away.

The other arguments is also stale: why should Maldives be shy when countries like Bangladesh and India do it? These countries are huge, compared with Maldives. They have two of the three factors of production – land and labor. But we do not have either land or labor. These countries attract foreign investments to create jobs. Do we currently have such a workforce needing these basic jobs? Most of the youngsters who need may need jobs hardly can stand in this country according to one of the entrepreneur. So, why are we in a hurry? To get part of commission to own pockets again?

Our economy is strong as far as the numbers go. We enjoy a higher GDP than our neighbors. What we need is a system to spread the country's wealth evenly and without corruption.

The expected taxes from these resorts, and the rights of the few Maldivians who will work there, depends on the law made in a parliament dominated or controlled by the same industry.

The parliament has so far failed to make the leasehold or the rent even out across the board. The owners of those islands leased for agricultural purposes in the past still enjoy ownership and very low rent.

Before we raise the tenure limits of the resort, what we need is to nationalize the rights of those 'owners' who had leased these islands for agricultural purposes before 1970 and then introduce a minimum rent calculated at the current market rate for all resorts.

The other side of rehabilitation

Original Dhivehi article by Ahmed Hamdhoon*

Ahmed Mohammed (not real name) has gone to the Drug Rehabilitation Center (DRC) in Himmafushi more than four times to escape from heroin, a type of drug. But each time after returning he goes back to the bad habit. In other words he relapses. What's the reason for this?

DRC marked its 10^th Anniversary this year. During the early days, the relapse rate was coming down year to year, and was noted to be particularly low during 2006 and 2007. But things have changed this year. The relapse rate has gone up.

Research conducted by donor agencies has shown that one in three Maldivians uses some type of drug. This is a record level in global terms.

There are many reasons why people go back to the habit after treatment, a counselor at the National Narcotics Control Bureau says. "The biggest problem is the Maldivian environment. Each island is small. No island is free of drug availability. So, after treatment one has to go back to the same den of drugs. In other countries one can shift to an area free of such danger. They have that opportunity. But we don't have that opportunity in the Maldives," the counselor who wishes to remain anonymous said.

Another counselor in DRC says that the rehabilitation program does not get sufficient attention from all government agencies. "This is the biggest and most serious problem facing the nation. But we don't get enough cooperation from all the agencies," the counselor says. "This year alone government budget has allocated more than 50 million rufiyaa to DRC and other rehabilitation centers in Addu and Fuvahmulah. But things are getting worse because enough work is not being done."

In a report released after visiting DRC, Human Rights Commission of Maldives has noted that there is no qualified psychiatrist in the Center. This is a serious issue because many of the young people who go into drugs do so because of inability to cope with psychological problems they face in their adolescence; they take the easy way out and take solace in drugs.

After taking treatment in DRC for about 9 months, having to spend about 11 months in community rehabilitation in Male is also noted to be a reason why many people relapse. During community rehabilitation clients report to the NNCB and give urine samples. The purpose is to identify clients who relapse during the 11 months and send them back to DRC.

If one needs to do community rehabilitation outside Male, one has to go to an island where an NNCB rehabilitation center exists such as Addu and Fuvahmulah. Otherwise, for the whole 11 months clients will have to remain in Male. They cannot take jobs elsewhere and need special permission to go out of Male.

"During the 9 months of treatment in DRC a client is detoxified and is free from physical addiction. What he needs after that is psychological satisfaction. Care from the family. Work to earn money and build life again," a young man from Alif Dhaalu Atoll, who is in community rehabilitation said. "Those who want to stop drugs will remain clean. So when you put restrictions on those who want to remain clean it creates problems. They lose the opportunity to get jobs and family support. When one has to remain idle in Male like this one gets tempted."

Many addicts are not that educated and because of restrictions on going out of Male during the 11 months of community rehabilitation, they find it difficult to get jobs in resorts and safaris. Since many of them are from other islands, they find it difficult to stay in Male, some even sleeping in boats in the harbor.

Lacking trust from the community, many addicts find it difficult to rebuild their lives. Difficulty in getting jobs in the private sector is one of the most serious problems. Thus finding the way ahead blocked, addicts just give up and go back to drugs.

"Private employers don't give jobs to addicts. So the government must show a way to them. If addicts don't get jobs in the private sector the government must take care of them and give them jobs; prevent them from going back to drugs," a member of SWAD and mother of an addict says.

From DRC to the community, recovering addicts face problems. Many people believe that the return on government expenditure on drugs is low. A lot of reform is required in several areas to change the situation.

[*Translated from original article in Haveeru Daily: http://www.haveeru.com.mv/?page=details&id=76612&category=cTrOpir]

Raising the resort tenure limit to 50 years

The proposal currently in the Majlis to raise the tenure limit of tourist resorts to 50 years has raised a virtual storm mainly because of two reasons. One, resort islands comprise by far the most valuable economic resource in the Maldives. Two, many people fear the move will ultimately lead to transfer of full ownership of the islands. How real is this fear?

Increasing the lease period on resorts to 50 years could create a situation similar to what's called "lease hold" in Common Law countries like the United Kingdom. Leasehold is a form of property tenure where one party buys the right to occupy land or a building for a given length of time. As lease is a legal estate, leasehold estate can be bought and sold on the open market and differs from a tenancy where a property is let on a periodic basis such as weekly or monthly. Until the end of the lease period (often measured in decades; a 99 year lease is quite common) the leaseholder has the right to remain in occupation as an assured tenant paying an agreed rent to the owner.

In contrast to the above, full ownership of the land as well as buildings is called "free hold," where you own the land indefinitely and can do as you please with it. But this difference is mostly theory, and there is no real difference in practice between lease hold and free hold. In both cases you have full ownership of the land for all practical purposes.

Considering the above, many people believe that increasing the lease period is just one step from granting full ownership. Others however disagree. They believe that a lease situation can be maintained indefinitely; and as long as such a lease situation exists government will have control over the islands.

Now a fundamental question: What difference will it make if resorts are given on free hold basis? Opponents believe it will hamper the government's ability to regulate land use and levy taxes. Supporters believe it will help owners to raise finance to develop the properties.

Thus there are no clear-cut answers to the issue. But one thing is certain. Any decision People's Majlis takes on the matter could have the potential of haunting the Maldivian people for generations.

Cushioning the Impact of Employment Law

When the Employment Act came into force on 10 July this year – 45 days after ratification – it created havoc in workplaces across the country. Government budgets ran out of money and supervisors were overwhelmed with sick leave notices. This lead some people to believe the Act is unsuited for the Maldives, especially when applied to tourist resorts, industrial sites and shift duty stations. Others however pointed out that the 48-hour work week stipulated in the Act is the norm in the European Union, and if that norm can be implemented in hotels and factories in EU, there should be no reason it cannot be applied in the Maldives.

At first tourist resorts were not included in the Act, but were later included following agitation by resort employees spearheaded by TEAM. Now resort managements are coming under increasing pressure to implement the provisions of the Act fully. But many people –not just resort owners –believe there are serious controversies in the Act, particularly when implemented overnight without sufficient preparation in resorts and industrial sites.

Some people believe the employment law was basically drafted with the working conditions of civil servants (government office staff) in mind. Apart from the budget shortage (which could have been avoided if implementation was delayed till January) the law can be applied to civil servants with no major problems, they believe. The question is, were the working arrangements in tourist resorts and shift duty stations studied sufficiently before the law was implemented?

Are you shocked to learn that you will need to employ 7 people to keep just one person on duty in a 3 shift duty system, if each employee avails all the rights stipulated in the Law –maximum working hours, rest days, sick leave and holidays? If one is shocked by this statistic one needs to study the law carefully. Employees of course deserve all these rights and more. However, one must also realize that tourist resorts have been operating under various systems of employment for decades. Thus, there is an existing baseline. Shifting from this baseline to the level required by the law would need careful planning.

Tourism, together with fish processing plants, forms the back bone of the economy. We need to make sure sufficient and efficient labor is available for these growing sectors of our economy. A competitive labor market is absolutely essential to ensure that we attract foreign investment for the tourist industry. While the human rights record of China is far from ideal, there may be a few things we can learn from their experience in managing their labor force and succeeding in producing committed workers.

[This article is based on ideas submitted by Mohamed Shiham, an employee of a 5 star resort in the Maldives.]

Is the Civil Service on Right Course?

Article 54 (Haa) of the Civil Service Act says a Permanent Secretary's post must be created and filled in each responsible office of the government. To anyone except the Civil Service Commission (CSC), the wording of this article and its context leaves little doubt as to its meaning: each ministry must have one and only one permanent secretary. But today some ministries have more than one permanent secretary. What gives?

Having two permanent secretaries in a ministry is more than a mere cosmetic issue. It dilutes the responsibilities of a permanent secretary (PS) described in Article 55 of the Act, and weakens the line of authority from minister to PS and onwards to civil service staff.

Perhaps the most serious accusation leveled against the erstwhile Public Service Division (PSD) of the President's Office was its tendency to create posts for people. CSC came with the promise of making the practice history. But history appears to be repeating with vengeance.

How does the performance of CSC compare with that of PSD? In the late 1980s, PSD introduced the post of Director General (DG) as the senior most public servant in a ministry. For more than 5 years PSD managed to maintain a single DG in each ministry. Similarly after introducing the post of Executive Director (ED), PSD managed to maintain a single ED in a ministry for 3 to 4 years. Compared to this CSC managed to maintain a single PS in a ministry for just about 6 months. Interestingly, throughout the presidency of Ibrahim Nasir, he managed to maintain a single Director to head each department and a single Vakeel to head each division of a ministry.

CSC inherited an extremely top heavy bureaucracy. Let us hope the Commission manages to take decisive action to streamline the civil service.

Free Healthcare – a context!

By Ahmed Afaal

Is there any such thing as free health care? Or is it just an attractive jargon that pleases people? Health care is a basic right for every citizen of every country and Governments are supposed to provide appropriate access to services, a statement well understood by everyone! In the recent past there has been a lot of talk about health care reform in almost all corners of the world. Health care reform becomes a major talking point of each political election. In the 1990's economists in their quest to find better and efficient ways to finance collapsing health care systems started the health care reform jargon. With advancement and sophistication in health care interventions, escalating costs left governments and the public struggling to afford health care and hence more and more people did not have access to health care, even in the developed world.

If we look at the most advanced health systems of the world for example, the United Kingdom is one that boasts "free" health care. But the National Health System (NHS) of the UK has in the recent years struggled to cope with the costs and slowly is moving towards a more market based system. Free health care is mainly seen in economies with high taxation. However even with this, there is division for example in the UK Labour Party whether to introduce a new health tax to supplement the already expensive NHS budget which stood at a staggering 53 billion pounds in 2001 (The Guardian, November 30, 2001) and keeps increasing. Who pays? The people with a tax burden of over 40% of there earnings! Do we call this 'free' health care? Most related literature state that the UK health system is on one extreme of the financing spectrum, not a very good one.

On the other extreme in the US where health care financing is based mainly on private insurance. This system has left millions without access to health care. This year the estimated number of people without insurance in the US has reached over 43 million. Why? People can't afford healthcare. No wonder, health care becomes a major campaign slogan of every American election. In the recent presidential campaign in the US, Barrack Obama proposed government subsidies on the current expensive market based system (Times, September 29, 2008) in an attempt to relieve the burden paying insurance. Also recent experience such as the bail out of insurance giants AIG shows the vulnerability of such a market. Again most literature on the subject if you read indicate that the US has one of the most regressive health care financing systems in the world.

Countries like France have made their health systems more responsive by innovation. Social Health Insurance schemes with co-payments and capitations have improved the sustenance of their systems. However, still there are questions about such systems. For example in the last election campaign of the previous Premier of Australia, John Howard in his campaign promised 'free" healthcare for all Australians. But just 3 months into his term, he raised the health care tax rate – his answer to the public? If the government implemented free health care Australia will go bankrupt and he said something along the following lines "I'm sure Australians will forgive me since my financial advisors were wrong at that time. I cannot make Australia go bankrupt just because I made an election promise" Perhaps one of the reasons his government did not last too long this time.

Coming to the context of the Maldives which is what we need to get worried about, we have a system that is extremely regressive. Out of pocket payments have made people beg for health care. Many families have gone into unrecoverable debt since they had to borrow for health care. Just like all other parts of the world, health care costs will keep on escalating. The more sophisticated the more expensive it becomes. Good financing schemes are the only solution to this phenomenon of escalating costs. Government has failed to implement a proper scheme to finance the Maldivian health system, at least in the past and so far we have to wait and see what will come up with the new Administration. One fact though is that the current political environment has made health care financing one of the major talking points.

On a positive note, slowly the concepts of insurance are creping into the country. A good sign, but how sustainable is it? We saw the first Government Employees Insurance Scheme collapse before it was really even born. A bitter experience! Now the new scheme "Madhana" is claiming that it is a more promising scheme. We have to wait and see.

Note: A first version of this article was published in Mr. Afaal's blog, http://afaal.blogspot.com. This edited version is provided to this blog for the readers of this blog.

Giving a Boost to "Maldivian"

By Dhivehi Dhariyeh

Since the controversial demise of Air Maldives the country has been without a national airline in the international market. The issues surrounding the failure of Air Maldives have not had an independent analysis up to today; we need such an audit to learn lessons from the mistakes of the past.

To compensate for the failure of Air Maldives a new domestic airline was launched as Island Aviation. Through a steady growth strategy the company has expanded its fleet and operations successfully. The company currently has a fleet of 5 aircraft of which 4 are Bombardier Dash 8 family, composing of 2 Dash 8 Q300 (50 seat) and 2 Dash 8 Q200 (37 seat) aircrafts.

The company then took the bold step of venturing into the international market with its turboprop fleet much to the amusement of critics and competitors. With its dedication and effort it has overcome the odds and is successfully expanding its international operations including a rebranding of the airline division as Maldivian. The company's executive management and staff should be acknowledged for this progress and growth which was generated on its internal profitability and resources. The company has announced the next step in its growth by the delivery of a Dash 8 400 (75 seat) aircraft around early 2010. This looks to be a sound decision based on the fact that turboprops are more fuel efficient than jets and the Q400 matches the speed of a jet aircraft which used to be the main weakness of turboprops.

In light of the importance of having a suitable national airline the government needs to work out a solution to give a boost to the efforts of Maldivian. As such mainly two points are of importance now first increasing the capital of the company to speed up its expansion and putting in place an independent and capable strategic management body.

To increase the capital of the company the government should increase its share in the company and allocate a percentage of the company for interested private parties to invest in. For example let 4 private parties invest up to 10% share each, thereby giving a total investment of 40% to private parties while government holds 60% of the company. This seems to be the viable option since attracting an established foreign airline to a JV is slim due to the current economic conditions and the previous assessment of the feasibility by Qatar Airways.

With this increased capital the company should step up its expansion plans and look to acquiring an aircraft of greater capacity and range to allow it to serve feasible routes such as Bangkok, Malaysia and Dubai. An ideal aircraft for the purpose would be an Airbus A319 or similar type. Such an aircraft should be acquired in the short term, preferably somewhere in 2010. To aid this, the physical and human resources of the company should also be developed.

The company should also be appointed a professional and independent Board of Directors and ensure compliance with Corporate Governance Code even though it's not a public company. It should also be looked into the viability of bringing in a foreign CEO who's experienced in international airline operations. The government should reduce its dependence on the company's dividend (as with other SOE's) as a primary source of government revenue and let the company reinvestment a greater portion of its profits into its expansion.

[This article was submitted by Dhivehi Dhariyeh, a visitor to this site.]

Corrupting the Citizen

By Ahmed Afaal

On October 8, 2008 and on October 28, 2008 the Maldives underwent arguably the most democratic, the freest and the fairest elections in her entire history. This paves the new direction for future elections in the country.

Among the elections held in the country, the upcoming parliamentary election would be one that needs to be watched very carefully. In the past parliamentary elections have been influenced by money, and people with high governmental influence. Maldives went through a stage where the people were, in my words "made corrupt" by persuading them to accept money, goods and many other favours. This lead to a mass corruption where votes were given in return for something, i.e. votes were bought and many people still think that this perhaps is the norm.

Given this, during the last two parliamentary elections a large number of new faces came into both the Special Majlis and the Majlis. Their intentions were clear from what they have done so far. They have fought definitely on behalf of the people in a way that no previous parliament has ever done. They have passed the new constitution that is modern and people friendly. Many laws, most of them good and some with flaws while other laws contradicting each other were also passed.

No one in the country can deny that the current parliament's achievement in facilitating the democratic process, making the government more accountable, and the contributions to the special Majlis in the separation of powers is historic. The achievement of the outgoing Special Majlis in getting a new constitution needs mentioning.

Ironically, the sad truth though is, in order to bring this to the people, powerful business people and other influential people had to, in my words "further corrupt the citizens" by pumping more money and doing more favours to get votes. Votes were sold to the highest bidder last time around. Perhaps this was the only way that these members could have penetrated into the parliament.

Question now is that are the same parliamentarians going to come out this election and advocate that what they did was wrong? Would they come out clean?

Maldivians will definitely watch the actions of these people carefully. Especially these were the very people during the last presidential election, were most vocal and critical about this issue targeting it to the then ruling party's actions. Also, though we have a presidential system, parties will be fighting to get as many members in. Are there going to be totally new politicians who will defy the odds? Will there be those who have the courage to stand up to make the election clean? Would there be those who would and could educate and persuade the public to go on the right path? Only time will tell. We will have to hope that this endemic does not blow into an epidemic but rather get eradicated.

[*This analysis was presented by Ahmed Afaal, for the readers of this blog. He has his own blog (No politics) at http://afaal.blogspot.com/. As always I welcome contributions from the readers of this blog, which I will publish for the benefit of other readers and to keep this blog rich in content.]

Architect of Modern Maldives Ibrahim Nasir Passes Away

Maldives Independence hero and the man widely regarded as the architect of modern Maldives, Ibrahim Nasir Rannabandeyri Kilegefaanu, died in a Singapore hospital yesterday evening. He was 82 years old and was survived by 3 ex-wives, 2 sons and a daughter.

Born in 1926 in the island of Fuvahmulah and educated in Sri Lanka, Nasir became Prime Minister of Maldives in 1957 during the Southern Crisis. He became President on 11 November 1968 when Maldives became a republic for the second time. After completing 2 terms as President in 1978 Nasir handed over power peacefully in a unique display of democratic norms.

Nasir's greatest service to the nation, and the deed that ensures him a place of honor in history, is gaining independence for the Maldives from Great Britain on July 26, 1965. While settling the Southern rebellion was also notable, it was marred by human rights abuses.

Nasir's other services to the Maldives include:

1. Starting English medium education (1960)
   


2. Starting A level education (1976)
   


3. Initiating the Atoll Education Center project and opening the first center (Eydafushi, 1978)
   


4. Starting nurses training (1963)
   


5. Opening health centers in all atolls (starting with Naifaru, 1965)
   


6. Opening the first modern hospital (1967)
   


7. Building the first airport (1966)
   


8. Starting tourism (1972)
   


9. Establishing the first radio station (1962)
   


10. Establishing the first TV station (1978)
    

[Note: Nasir's services are too many to be accurately listed in full. A 20-year period of rule would obviously have negative aspects too. However, it is not customary to dwell on those aspects in an obituary note.]

Law on Privileges for Ex-Presidents Runs into Stormy Weather

The bill on Immunity and Privileges for Ex-Presidents, presented to the People’s Majlis by Meemu Atoll Member Aneesa has come for severe criticism from MPs. Most members who spoke on the bill appear to believe it was designed to give excessive privileges to a particular person. Such a view is at least partially justified considering that former president Ibrahim Nasir has lived for 30 years without any such privileges and no one appeared to be concerned about that.

One clause in the bill came for particularly harsh treatment –clause 2(b) that proposed to designate a ‘senior most state dignitary’ based on the number of years served as president. Members said this was a thinly veiled attempt to designate Maumoon to that position, because with his 30 years of service there was no possibility of anyone ever outdoing him. Other members thought designating an ex-president as the senior most dignitary infringed on the privileges of the incumbent president.

Members also criticized the proposal to give a house to each ex-president. Instead they proposed to give a living allowance and to allot a plot of land for those who did not own a house.
On the question of allotting staff for research, some members felt the government must not foot the bill for personal research, while research commissioned by the government could be paid. Similarly the number of personal staff could be reduced from 10 to 5 they suggested.

Most members also rejected the idea of paying to ex-presidents the same salary as incumbent presidents. Following this, the sponsor of the bill Aneesa downgraded the salary to three quarters of an incumbent president’s salary. On the question of providing security too, members felt that ex-presidents do not require the same level of security as incumbents.
The open-budget holiday package proposed in the bill was also severely criticized. Instead, members suggested a limited budget of $12,000 to $15,000 for the purpose.

The Majlis debate on the bill is still continuing and is likely to go to a committee. In the meanwhile President Nasheed has by decree sanctioned temporary immunity and privileges to former president Maumoon Abdul Gayoom.

Decentralization: Will it Reduce Civil Unrest?

People in sleepy outer islands of the Maldives, once docile and obsequious, suddenly in 2006 began to seize and besiege island administrative offices, demanding harbors, schools and sewage systems. Few people then or now associated this with decentralization or the lack there of. But listen to the voice of an islander:

"It takes 15 to 20 years to lay a sewage pipe or a sewerage system. Now we run towards what we call democracy. We close down the island office and everything stops. We turn desperate, write numerous letters and make numerous pleas before things get done. This is begging." –a resident of Eydhafushi, Baa Atoll, speaking in a documentary produced by Project Hope.

What the young man says contrasts sharply with conventional wisdom, which said unrest in the islands is the result of democracy. Here he says the unrest is the result of government neglect –in other words lack of good governance. Islanders were driven to unrest by desperation and the realization that seizing island offices was the only way they could get the attention of the government.

Decentralization, Selected Islands Development, Focus Islands, Development Regions, Development Zones: these are the ingredient of the cocktail that the government promised to the islanders for the past 25-30 years, but never even attempted to deliver. While paying lip service to decentralization, the government actually moved in the opposite direction –concentration of more and more power in the Atoll's Ministry.

Ministry of Atoll's Development headed by Abdulla Hameed made full use of developments in communication technology to further spread its influence to the islands. In progressive steps, VHF sets, telephones, fax machines, mobile phones and the internet reduced Atoll Chiefs to innkeepers and Katheebs to telephone operators.

Elections to Atoll Development Committee were dispensed with and it became a committee appointed by the Atoll Chief in consultation with Atoll's Ministry. Lacking popular support, the committees became rubber stamps for the Atolls Ministry.

It is reasonable to assume that lack of credibility of Katheebs and the committees is at least partially responsible for the civil unrest in the islands. Will decentralization solve the problem?

Theemuge as City Hall?

Ever since President Nasheed announced he will not occupy Presidential Palace Theemuge, people are wondering what to do with the house. This question is pertinent because Theemuge is arguably the finest building in Male. It was constructed at phenomenal cost to the exchequer (estimates vary from $ 30 million to $ 60 million) and has immense historical value. Considering all this, it could serve very well as Male's City Hall

A city hall or town hall is the chief administrative building of a city or town's administration and usually houses the city or town council, its associated departments and their employees. It is also usually the base of the city, town, borough, or county mayor.

Under the new Constitution, Maldives will have a system of local government by mid 2009. Under the system Male is likely to have an elected Municipal Council headed by a Mayor. Such a prestigious body will need a correspondingly prestigious address.

If one looks around the world, city halls serve as symbols of local government, and usually have distinctive architecture. They also frequently occupy historically significant buildings. This description fits Theemuge very well.

Theemuge started its life as 'Athiree Maafannuge' in the 2^nd quarter of the 20^th Century. It was built by Abdul Majeed Rannabandeyri Kilegefaanu as a home for his second son Hassan Fareed. After Fareed's death during World War II, Abdul Majeed donated the house to the Government. During the regimes of Nasir and Maumoon, the house served at different times as presidential residence as well as prime ministerial residence. It also housed ATA (the fore-runner of STO). Finally, in the early 1990s, it was rebuilt and renamed as Theemuge.

In addition to housing the municipal offices, Theemuge could also host a cultural center that showcases Male as the historic capital of the Maldives.

[Note: This article simply expresses the author's personal opinion as a citizen of Male.]

The Presidential Address – what do we make of it?

By Ahmed Afaal*

After a long and hard struggle to attain democracy in the Maldives, 28 October 2008 marked a historic day that led to the end of a 30 year long presidency followed by a courageous display of democratic transition from both the out going and in coming presidents. Like the vast majority of people who voted for change, I waited anxiously for the new beginning. Finally on 11 November 2008, a moment long awaited, a new chapter headlined in the Maldivian democracy, a new president was sworn in.

Now comes the time of delivery. The first impressions are always important. I was one eager listener to the first Presidential Address from a different person in my whole life. I had a lot of expectations. What directions are we going to take? After listening to the Address, it took some time for me to really think about what was said. What was the message? Keeping what I thought for myself, I asked around a lot of people what they thought of the speech. Many were unable to say something concrete but most of the intellectual people that I asked were not really impressed with it. One of them told me that, and I quote "The campaign is now over, why he delivered another campaign speech after being sworn in!" Well I felt kind of the same.

So what shall a good presidential address do? In 1946 George Orwell published an essay "Politics and the English Language" that describes some insight into good political speeches. Many of the American analysts still use this assay as a baseline for speech assessment. Though the speech was not in English, the inaugural address of the President exhibited some staleness and vagueness which according to Orwell, lacks the strength of such a speech. Also the address didn't meet Orwell's criteria for an effective political speech because it was filled with the same political slogans that had been in the media and campaign speeches for the last four or so years. The strategic directions rolling over to the implementation of the slogans were lacking.

As for me I felt that the President delivered a vision statement. I agree that the promises need to be renewed but that renewal shall now come with strategic direction. I was expecting elaborations on the current economic situation of the country and specific strategies to address it. Elaborations on the 'how' of tackling the drug situation, health care, education and the rest of the five pledges would have been included. What actions would the President put immediately to overcome the challenges he faced and so forth.

Does this mean that the strategic communication unit of the President was up to par? Did the president do his own speech? Or did he miss to deliver part of the Address? Wasn't it analyzed critically before delivery? Who gave the technical inputs to the Address? These are some questions among many that people may have in their minds.

Ironically, the Maldivian media also did not give a good analysis of the speech. Not surprisingly they only knew to repeat what the President said on their headlines. Rich critical analysis of such Addresses shall now be presented by the media for the benefit of the public.

[*This analysis was presented by Ahmed Afaal, for the readers of this blog. He has his own blog (No politics) at http://afaal.blogspot.com/. As always I welcome contributions from the readers of this blog, which I will publish for the benefit of other readers and to keep this blog rich in content.]

Majlis Sets Dangerous Precedent

Majlis discussions yesterday on the structure of the new government have raised important Constitutional issues related to transition from one government to the other. These relate to re-structuring of government ministries and Majlis approval for cabinet ministers. How these issues are decided now could set precedents that would have future repercussions. Here are some of the issues:

1. Structure of the Government: With each change of government is it possible or desirable to redesign the entire structure of the government including arrangements for providing 1000s of services? Will there be sufficient time to do this effectively? In the US, which has a presidential system, the government structure is essentially fixed and supervised by a 15-member cabinet. In India, a parliamentary democracy, it is true that the cabinet does not have a fixed number and ministries have varying structures. But the civil service structure is essentially fixed. So with a change of government an entire department may move from one ministry to another, but no re-structuring is done within the department. This makes transition a simple matter of changing the boss.
   


2. Majlis approval for cabinet: In parliamentary democracies like India, a newly appointed cabinet must demonstrate it has the confidence of the Parliament. (In cases where the ruling party has a large majority an actual vote is not taken and it is assumed the government has the confidence of the Parliament.) In approving President Nasheed's cabinet in a 'block vote' collectively, People's Majlis acted in line with the practice in parliamentary democracies. This could set the precedent of seeking Majlis approval for cabinet (as opposed to individual members.)
   


3. Majlis approval for individual ministers: In presidential systems such as in the US approval is obtained for individual cabinet members. Since Maldivians have voted for a presidential system in the referendum of August 2007, it is assumed that the Constitution stipulates a similar procedure for approval of cabinet ministers. However, the decision taken by the Majlis yesterday does not appear to be in line with this procedure.
   

Comments: Collective approval of the cabinet could be a dangerous precedent to set. Under the current Constitution it is possible to elect a President whose party does not have a majority in the Majlis. In such a case an opposition party (or parties) could create a deadlock by voting down the cabinet along party lines. In contrast to this when approval is sought for individual members of the cabinet as in the US, decisions are taken regarding the qualification of the person in question. If he is rejected a new candidate is nominated, and this process could go on (as we often see on TV) till a suitable candidate is found; so the system works without crisis. Perhaps this procedure is more suitable for the presidential system we adopted for the Maldives.

Maumoon’s Legacy

"Mohammed Nasheed, known locally as Anni, defeated the dictator Maumoon Abdul Gayoom to become the Islands' first democratically elected president for 30 years." (Sunday Island, Colombo, November 2, 2008). Does this opening sentence from a newspaper article on the Maldives presidential election sum up how outsiders see President Gayoom's 30-year legacy?

Was this really Maldives' first democratic election? Surprisingly, President Gayoom's own pronouncements indicate that he himself believed there was no democracy in the Maldives till this election. For example, when an Al Jazeera journalist asked him last month why it took him so long to introduce democracy he replied, "… you must...er...recognize the fact that at that time we were a very poor under developed country. We didn't have even food for our people. And we didn't have any sort of education. And our health were...services were very very low indeed. So people were not ready for any modern form of democracy. I have been able to achieve great progress both socially and economically during the past thirty years. So now we are ready, we are ready for democratic reform so that's why four years ago I introduced this new agenda of reform."

So in Gayoom's words Maldivians were not ready for democracy before 2004. But were they ready for lack of democracy? Was Naifaru Dhohokko ready for being arrested for simply wishing he wanted to see another day? Was Gogo Latheef ready to be jailed for criticizing the government in the Majlis? Were Mohamed Saeed Moosa Wajdee and Ahmed Fayaz Hassan ready for being sentenced for writing critical articles?

During Gayoom's tenure, the Maldives developed into a premier tourist destination. Per-capita GDP rose from less than $300 to over $4000 dollars. The question is, how successful was the government in bringing the benefits of economic development to the common man?

When Gayoom came to power there were 4 government schools in Male. In the islands only one Atoll Education Center was in operation and another was under construction. When he leaves office, there are more than 300 schools. However there are concerns about lack of quality and discipline.

When Gayoom took office in 1978, Maldives was one of the most law abiding and crime free countries in the world. He leaves a society in which drugs and crime are rampant.

Finally how effective and efficient is the government administration that Gayoom nurtured for 30 years and handed over to Nasheed?

Getting the Priorities Right

By Farooq Mohamed Hassan*

Tomorrow Mr. Mohamed Nasheed will take oath as the 4^th President of Maldives. Needless to say that he is taking over the stewardship of our government at a time when the world is facing a series of unprecedented challenges, ranging from a financial crisis, food safety, energy security, poverty and climate change to environmental deterioration – challenges that are directly related to our very survival, development and security. Mr. Nasheed's stewardship will certainly be judged by his ability to maneuver his government through the troubled waters.

And more specifically, we have a huge budget deficit to deal with. Then, there is the tsunami affected population, the non-performing public companies, including STELCO which has run into huge debts. Then there are the on-going projects and the numerous other projects that are in pipeline, whose loan and contract agreements have already been signed and ready to be implemented. All these issues and challenges are over and above the promises made by the MDP-Iththihaadhu during the election campaign. And of course, we should not forget the prevailing high expectations of the population, and the presence of a responsible opposition to hold Nasheed's government accountable.

There are also the external factors that necessitate prioritization of issues. The on-going global financial crisis and the unpredictability of the oil market being the most worrisome. Therefore, getting the priorities right should be the new government's first and foremost priority. Others, though not in order of priority are;

• 
  
  Respect human rights. This is important because of the on-going discussions with respect to the reforming of the international institutions, including their rules and mechanisms of governance, which are placing a much higher emphasis on making the principles related to human rights as the basis of international relations.
  


• 
  
  Maintain peace and security. Maintenance of peace and security is essential to ensure the smooth functioning of the government in the difficult times ahead. Our disadvantages in terms of lack of skilled labor and developed legal systems, high costs of energy, transportation, water and sanitation, etc., will have to be offset by maintaining peace and security.
  
  
  

  
  



• 
  
  Promote and strengthen democratic governance. According to the UNDP's Human Development Report 2002, countries that have good governance systems that are fully accountable to all people, and in which people can participate in debates and decisions that shape their lives, are more successful in promoting human development for all. According to this report, democracy not only helps to protect people from economic and political disasters, but also contribute to political stability. The report also states that democratic governance that includes tolerance for political opposition and smooth transition of power initiates a continuous cycle of development, because of the fact that political freedom empowers people to press for policies that expand social and economic opportunities.
  
  
  

  
  



• 
  
  Maintain economic stability. This is important to attract foreign direct investment to the country. Government planners and economists across the world agree that at a time when the world is going through financial tsunami, maintaining economic stability is the key to avert a down spiral of a country's economy. The vulnerability of our economy lies in our narrow economic base - tourism and fishing, which are heavily dependent on the economic performance of foreign countries. It is important therefore, that the government makes a strong resolve to take a responsible attitude and work together to maintain our economic stability. Any significant drop in anticipated or projected income will severely restrict the government's ability to deliver its promises.
  
  
  

  
  



• 
  
  Maintain good governance as defined by budgetary discipline.
  
  
  

  By good governance I mean better budgetary discipline at national level, and more realistic forecasting and more reliable statistics. Since fiscal and monetary policies are interdependent, government needs to formulate clear, transparent and consistent monetary policy to know how to conduct fiscal policy. Here, national institutions could play an important role in budgetary surveillance through increased attention to the development of public finances in public opinion. It is also necessary to have rules for fiscal policy that limit deficits and debt, and to follow these rules in a credible manner.
  

  
  

  
  



• 
  
  Strengthen the office of the Auditor General and the Anti-Corruption Commission. International best practices teach us that transparency and goals help form expectations and behavior, and in enlisting the public in the struggle for macroeconomic soundness. As evident in the recently released audit reports of the various government offices and public companies, the Auditor General's office and the Anti-Corruption Commission could act as advisory bodies and watch-dogs over government offices and public companies. They could also create a continuous national dialogue with warnings and recommendations to politicians - a measure that would boost transparency, and put long-term fiscal goals at the heart of the debate, and thereby improve fiscal soundness.
  

As mentioned in the beginning, Mohamed Nasheed's government is inheriting a financial mess created by the out-going government. Mr. Nasheed is also taking charge of the government in the midst of the worst financial crises after the Great Depression of the '30's. Therefore, for this and other reasons discussed above, it is important that the new government keep a short list of priorities to ensure the smooth functioning of our economy and that the election promises are delivered. Finally, I would like to once again emphasize that, in this crucial moment, a solution to the economic and other challenges confronting the new government can only be achieved by getting the priorities right, and by working with strong confidence, concerted efforts and shared responsibility.

Note: I will be leaving Xiamen, PRC, tomorrow to continue the rest of my course work in Beijing. Dr. Waheed , thank you very much for being so kind and generous to post my writings on your personal blog, I also like to say a very warm 'thank you' to all those who read this blog, and especially to those who by means of their valuable comments enriched my knowledge and broadened my understanding. Cheers!

[*Faarooq Mohamed Hassan is a former shadow cabinet member of MDP and is also the Deputy Director General of the Environment Research Center.]

Learning from History

By Farooq Mohamed Hassan

They say history repeats itself. I hope it doesn't. Even as I write this short article, I know people are queuing up to take Maumoon to court. More than 30 years ago, the then President Ibrahim Nasir had to banish Maumoon for using religion to incite violence against the state, and of course his government.

What has transpired in the past 10 days or so following the presidential election results of October 2008 may seem trivial, but portentous in reality. First, the attempt to delay the announcement of the election results, then a court order for the President-elect to appear in court, followed by a wave of promotions, contract signings, handshakes, and oh yes! – the Bill Ms. Aneesa submitted to the Majlis. This carefully orchestrated melodrama showcased Maumoon's true egocentric character more than anything else. I for one, thought that as soon as the election dust settles, Maumoon's babbling would fade away and his erratic behavior would also grind to a halt. But they didn't.

Surprised? No. What else can one expect from a man who for the past 30 years led a government in which the rhetoric and stagecraft of planning often took the place of real planning, other than acting like the stereotypical old-fashioned godfather that he once used to be, and continue to play his old pranks, repeating his fork-tongued pledges, giving promotions to his cronies and signing huge and lucrative contracts that he would never be able to implement?

But mind you, all this is not going to be without a price. Aware and mindful of the growing public resentment over Maumoon's arrogance in the face of defeat, MDP leadership appeared to have finally decided that it cannot shy away from its responsibility and simply sit and do nothing. Last Friday night, MDP's Chairperson, Ms. Maria Ahmed Didi 'fired' what appeared to be the first 'warning shot' over Maumoon's head. It was a reminder that his every move is being watched carefully. Speaking to the huge audience gathered at the artificial beach area to mark the MDP-Iththihaadhu's election victory, Ms. Maria was sharp and blunt. She delivered a strong and powerful message to the out-going president. She warned Maumoon not to take advantage of the goodwill and patience of the victors. She also warned him that the victors are fully aware of the motives behind his irresponsible and unjustifiable behavior and actions, and that the victors are not unmindful of those actions.

Observing these events from Xiamen, PRC, it appears to me that Maumoon is pathetically out of touch with reality. How else can you explain his irrational behavior?

I just wonder would it not be better for Maumoon to devise a sound and effective exit strategy: stop displaying his disdain and arrogance towards the victors, show a bit of good-will, and cooperate more fully with the incoming government. Unfortunately, in spite of the olive branch Mr. Nasheed has extended to Maumoon, he seems reluctant to take it. Former President Ibrahim Nasir offered him several such olive branches before he took action against Maumoon. Maumoon seems not to have learned any lesson. Unlike president Nasir and president Maumoon, president Nasheed would have no control or influence over the affairs of the judiciary and the Majlis. And so, Maumoon must understand that what is at stake for him this time around is indeed much higher.

Finally, whatever Maumoon or his sympathizers may think of what appears in the print media, one thing is certain: History will be harsh in its judgments of Maumoon and his administration. What Maumoon and his supporters should concern themselves about is not so much to find out whether history repeats itself but to learn from history before it is too late.

"Those who do not learn from history are doomed to repeat it." –George Santayana

[Faarooq Mohamed Hassan is a former shadow cabinet member of MDP and is also the Deputy Director General of the Environment Research Center.]