President Dr. Mohamed Muizzu has announced a significant reduction in the monthly payments for Hiyaa, Vinares flats, and essential housing units in the atolls. He made the announcement in a press conference held at the President's office following Tuesday's Cabinet meeting.
During the presidential campaign, Dr. Muizzu pledged to reduce the rents on Vinares flats and housing units in the atolls and reimburse the cost of completing the finishing works of Hiyaa flats. The president fixed the average cost for Hiyaa finishing works at MVR 200,000.
Following Tuesday's Cabinet meeting, the President shared with reporters that the Cabinet decided that the government would compensate Hiyaa flat recipients for the cost of finishing work on their flats and would deduct MVR 200,000, an average value, from the total payment due on the units. Following the government's decision, the new monthly payment from the seven-year payback arrangement will now decrease from MVR 5300 to MVR 3984.21.
"The amount due for seven years before [during the previous government] was MVR 5,700 monthly. [With this change], flat recipients will have to pay MVR 3,984 for the next seven years. This will not put any burden on the budget. The decision was made after much assessment, and will directly benefit the people," he explained.
The President also elaborated on his commitment to decrease the monthly rental fees for Vinares Flats and announced the Government’s decision to deduct an average of MVR 4,200 from the monthly rent and 50 percent from the down payment.
The President further announced a reduction in rent for social housing units in the atolls to MVR 3,330 per month, which currently averages at MVR 5,000 per month. However, the rent for units paying MVR 2,500 per month in the atolls will remain unchanged.
Additionally, the President pledged to waive penalties for flat recipients with overdue rent in atoll social housing and Hulhumale' Phase I flats. An installment plan will be available for those with pending rents.
Furthermore, the President assured individuals listed as flat or land recipients during the former government that they would receive the designated flat or land.
