A plot designated for a city hotel in Haa Alif Uligan has been utilized for local tourism after it was handed over to the council.
Visiting Uligan for the presidential election campaign, President Ibrahim Mohamed Solih said the Maldivian Democratic Party's (MDP) previous government tried to develop a city hotel on the island. But work stalled because of the successive government and difficulties arose in reclaiming the land plot.
"Difficulties were faced in doing that work [handing over to council]. The reason was how the next government acted. I can say that there was a 'secretive agreement' made to partner with a foreign party to build an armory and provide assistance to vessels that travel through here," the president said.
Getting out of the agreement proved to be very difficult, he said. While the issue has been resolved now, the company is on the verge of suing the government for compensation, he added.
"In truth when we looked, the agreement couldn't be found. It wasn't in any government institution. But that company has the agreement. When the police went and checked, it was confirmed that it was the real person who signed it," the president said, noting the government's decision to terminate the agreement despite verifying its authenticity.
The agreement was cancelled to lease plots for tourism as the council and public wished, he said. Since the land was handed over to the council, two plots have been leased and the council has been generating an income, he added.
The president said Uligan has been ripe for tourism with a good harbor and easy access to enter the country. In 2008, the previous government tried to build a city hotel under the same policy but did not complete what was required before the project could be undertaken, he said.
"Water and sewerage are necessary. Electricity is needed, and a harbor is needed. Tourism on an island cannot be ripe without this. Today this island is ripe and ready for local tourism," the president said, assuring that investments will be made for local tourism.
