Opposition leader urges Muizzu not to ratify changes to Decentralization Act

Aug 7, 2025, 5:34 AM
Fayyaz Ismail (m).

Fayyaz Ismail (m).

The opposition Maldivian Democratic Party (MDP) Chairperson Fayyaz Ismail has called on President Mohamed Muizzu not to ratify the recent amendments to the Decentralization Act.

At a meeting of the MDP national council on Wednesday night, Fayyaz said Muizzu must think deeply about the impact of the amendments and urged him not to restrict the rights of the local councils.

“Tonight, for the sake of this country, I call on President Muizzu not to ratify it and to think about it,” Fayyaz said.

He added that the bill was passed within just two days using the ruling People's National Congress (PNC)'s majority despite concern from 56 councils because of direct orders from Muizzu.

"I know it was on the orders and instructions of the President in that it happened at such a fast pace in the parliament. And I also know it will be gazetted," he said.

Fayyaz promised that the MDP will abolish the amendments to the Decentralization Act and give greater powers to the councils with the reform of the decentralization system when they are in office.

Amendments to the Decentralization Act

Restrictions on doing business

  • Preventing councils from doing business if a private party is involved in the same business
  • Only infrastructure development allowed
  • Business investment or capital must exceeds MVR 10 million
  • Existing council businesses must be stopped within three months if they violate the above rules

Restrictions on leasing properties

  • Rent cannot be charged from properties allocated to various parties for providing basic services

Influencing financial matters

  • Maintain bank accounts of councils under a rule from the Finance Ministry
  • Council must provide a bank account statement if required by the Finance Ministry

Obstruction of council work

  • If a council has one year left in its term, permanent and contract employees cannot be hired
  • If a council has one year left in its term, land, lagoon, reef cannot be leased
  • If a council has one year left in its term, new development projects cannot be announced

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