At a ceremony on 6 November 2025, 206 projects worth MVR 2.7 billion were awarded to 53 companies without bidding, with criteria undisclosed. Financial expert Ismail Zariyand criticized amendments to Public Finance Regulation that allow ministers to award projects without capacity assessments or requiring guarantees, calling it systemic corruption under UN criteria
Financial expert Ismail Zariyand
Financial expert Ismail Zariyand has stated that the awarding of 206 projects, valued at MVR 2.7 billion, to 53 companies without a bidding process, in the presence of President Dr. Mohamed Muizzu, fits the criteria for systemic corruption orchestrated from within the government.
The projects were distributed to companies linked to members of parliament and government-affiliated entities during a special ceremony held at Barceló Nasandhura on 6 November 2025. The criteria and methodology used to select recipients for these directly awarded projects have not been disclosed.
Zariyand raised these concerns during a meeting with residents of Galolhu held at Imaduddin School on Tuesday night. The meeting was part of a series of constituency-level engagements conducted by President Muizzu.
Zariyand noted that four amendments were made to the Public Finance Regulation between December 2023 and October 2025. He pointed out that Article 10.22 of the regulation was amended to allow the Cabinet to award state projects to preferred parties without a bidding process. He stressed the gravity of these amendments, stating that they do not establish any clear criteria for assessing the capacity or experience of parties entrusted with state projects worth millions of MVR.
He further expressed concern over the lack of a mandatory requirement for contractors to provide guarantees to compensate the state for losses if projects are abandoned before completion. Zariyand also highlighted that the amendments mandate advance payments of up to 15 percent of a project’s value to contractors, which he described as a troubling provision.
Zariyand added that the manner in which the projects were awarded meets the United Nations’ criteria for systemic corruption carried out within governments.
He therefore urged not only the president but also Attorney General Ahmed Usham to reassess these issues and implement the necessary legal remedies.
Under the recent amendments to the Public Finance Regulation, a minister is permitted to award any project to any party of their choosing. The amendment explicitly states that no assessment of capacity is required during the awarding process. It also allows for advance payments of up to 15 percent for projects without requiring either an advance payment guarantee or a performance guarantee, if the minister decides to do so.
