President commits to empowering councils, says Minister Shareef

Minister of Cities, Local Government and Public Works, Adam Shareef Umar, stated that President Mohamed Muizzu is dedicated to strengthening the decentralization system and financially empowering local councils.

His comments come as the Parliament on Wednesday passed a bill to amend the Decentralization Act, which restricts some council powers. This bill's passage has raised concerns among many councils.

Defending the amendments, Minister Adam Shareef explained on X how the President is working to financially empower councils. He highlighted the President's strong policies to empower councils and earn public trust. These efforts include giving uninhabited islands to councils, visiting islands to meet with council members, making decisions based on council proposals, and adapting projects according to their requests.

ލާމަރުކަޒީ ނިޒާމު ހަރުދަނާކޮށް، ކައުންސިލްތައް މާލީގޮތުން ބާރުވެރިކުރުމަށްޓަކައި ރައީސުލްޖުމްހޫރިއްޔާ ޑރ މުޙައްމަދު މުޢިއްޒު @MMuizzu ގެންދަވަނީ ހަރުދަނާ މަސައްކަތްތަކެއް ކުރައްވަމުން.
ކައުންސިލްތަކަަށް ފަޅުރަށްތައް ދެއްވުމާއި ރަށްރަށަށް ވަޑައިގެން ކައުންސިލްތަކާ ބައްދަލު…

— Adam Shareef Umar (@Adamshareefz) August 6, 2025

The minister emphasized that increasing the financial power of councils and ensuring responsible use of these funds will strengthen decentralization and boost public confidence.

The bill was passed by the committee on Tuesday after a brief 19-hour period for public comments.

The proposed bill introduces five key amendments. Local authority companies would be restricted to essential rural infrastructure projects (investments exceeding MVR 10,000,000) and would be required to cease competition with private enterprises within 90 days of the amendment’s enactment. Councils would be prohibited from charging rent for land or buildings utilized for basic public services and would receive revenue after state tax deductions, provided they are not delinquent in public service payments for more than six months. The amendments also mandate that councils maintain bank accounts in accordance with Ministry of Finance procedures and provide statements upon request. In their final year, councils would face restrictions on new employee recruitment, leasing land, lagoons, or reefs, and initiating new development projects not previously specified in council development plans.