Health Minister Reveals $3.89 Million Loss from Stalled Previous Administration Projects

The Maldives' Minister of Health and Family Welfare, Geela Ali, has revealed that over USD 3.89 million was wasted on health sector projects initiated by the previous administration. The losses stem from advance payments made to contractors for projects that were either significantly delayed or never commenced. Addressing members of the Majlis (the Maldivian Parliament), Minister Geela explained that while the previous government awarded numerous contracts and released substantial funds, a lack of progress led to significant financial losses. Following an audit of these stalled initiatives, the current administration under President Dr Mohamed Muizzu has terminated contracts for 16 specific projects where work had failed to begin. “A number of health service projects have had to be terminated,” Minister Geela stated. “More than USD 3.89 million has been wasted after projects were awarded to various parties in this manner. However, we are now working to recover that money through legal means.” The Minister emphasized that the government is now pursuing legal avenues to reclaim the lost funds while simultaneously restructuring how health infrastructure is developed. Current efforts are focused on upgrading health centers across various islands and establishing new laboratories, ensuring that projects only proceed once necessary funding is fully secured. Beyond infrastructure, Minister Geela noted that the government is prioritizing the establishment of robust operational systems and the recruitment of human resources. This strategy aims to ensure that the delivery of essential health services is not disrupted by ongoing construction and that the quality of care remains consistent for residents across the archipelago. This revelation comes as part of a broader effort by the current administration to review the financial legacy of previous governance and optimize the allocation of public funds toward tangible community outcomes.