PNC PG leader calls for proper probe into MDP administration’s ‘corruption’

The main ruling People’s National Congress Party (PNC)’s top lawmaker says there’s an urgent need for a proper investigation to uncover the last Maldivian Democratic Party (MDP) administration’s “embezzlement” of public funds, adding that the country must be “saved” from MDP.

During Wednesday’s debate on the state debt bill submitted by the government, Inguraidhoo MP Ibrahim Falah said it is important that the current and future Maldivian generations understand past administrations’ treachery with regard to the country’s finances.

The PNC parliamentary group leader said the Maldives needs to think hard about government spending and debt.

He blamed the MDP administration, which held office from 2018-2023, for the current situation.

“The people need to think hard before electing MDP. Them coming to power is a frightening prospect. Look at how the country needs to make USD 1 billion in debt repayments in 2026 because of them. And what did they do to repay debt? The extent of their incompetency is that they took on more loans to repay the loans taken by previous administrations. They couldn’t come up with any plan to boost revenue. The only thing they did was to increase the overdraft,” he said.

Falah said that the MDP administration did nothing to boost state revenues in the five years it held office.

He said that the country must therefore identify and properly investigate the former administration’s alleged corruption, adding that the Parliament must also join in these efforts.

Hanimaadhoo MP Abdul Ghafoor Moosa, a lawmaker from the main opposition MDP, responded that it was clear “even from books” that the reason for the rise in debt during the last administration was because of the economic downturn caused by the Covid-19 pandemic.

“The claims being made here today are pure slander, and diverting the blame for the debt situation on the previous administration. We, too, would solve the debt crisis if we had come to power. It’s just pure slander here today. Is this the vision for the 20th parliamentary assembly?” he said.

The state debt bill, sponsored by Funadhoo MP Mohamed Mamdooh, was submitted to the Parliament on June 25.

The key components of the bill include:

• Policies on incurring debt
• Policies on debt management
• Policies on disclosure of information and reporting on state debt
• Policies on debt incurred by local councils and state corporations
• Policies on issuance of sovereign guarantees

The bill is part of fiscal reforms announced by the government to combat high public debt, and improve the country’s economy.