Muizzu Blames Previous Government for Decline in Fishing Workforce

President Dr. Mohamed Muizzu has blamed the previous administration for the declining number of people working in the fishing industry.

Speaking during the second episode of "The Pulse" podcast series, President Muizzu noted a decline in the number of people working in the fishing industry, highlighting a particular lack of youth participation in the sector.

President Muizzu noted that a significant number of employees were recruited to Fenaka Corporation during the previous administration, highlighting that many of those hired were young people who had previously been working in the fishing industry.

Consequently, he noted that the fishing industry is currently facing negative repercussions, with a significant number of fishing vessels being sold off due to a critical shortage of labor.

Furthermore, President Muizzu noted that no official survey has been conducted to date to identify the reasons behind the declining workforce in the fishing industry. However, he announced that a survey would be initiated within the next two months.

No official survey has been conducted yet. However, I am working to initiate a survey within the next two months to determine the exact figures. I believe this situation arose because, during the previous administration, many young people working in the fishing industry were recruited into state-owned enterprises, particularly Fenaka. This offered them an easy source of income; if one can earn a decent salary while staying on their home island and living with family, it becomes a very attractive option to choose.

President Dr. Mohamed Muizzu

President Muizzu stated that efforts to resolve these issues are underway, noting that the process includes initiatives to rightsize state-owned enterprises.

While we are currently placing a special focus on Fenaka, we are also working to right-size other state-owned enterprises to their most optimal scale. We are undertaking this because we firmly believe it is the most effective way to positively impact the Maldivian economy. By doing so, we will see an increase in the number of young people entering the fishing industry and other private sectors. The current practice of keeping the majority of the youth and the general workforce confined within government SOEs hinders economic expansion and stifles overall productivity.

President Dr. Mohamed Muizzu

President Muizzu stated that efforts will be undertaken within a holistic economic framework to advance the fishing industry as well as all other sectors. He further assured that effective solutions would be sought for the existing challenges.

President Muizzu’s remarks follow his earlier admission during a press conference at the President's Office on April 20, 2026, where he conceded that the government had extended employment opportunities to individuals as a means of securing votes ahead of elections.

Responding to a question from a reporter during the press conference, President Muizzu stated that he would no longer grant employment opportunities for political purposes or in connection with election campaigns.

However, following widespread public criticism, government spokesperson Mohamed Hussain Shareef denied the reports. He stated that the intended meaning of his response had been misrepresented.

However, under the current administration, government-owned enterprises have been distributing jobs in connection with elections. After more than two years, the government has finally acknowledged that Fenaka Corporation now employs over 8,000 staff. Furthermore, despite President Muizzu’s pledge to limit political appointments to no more than 700, opposition parties allege that the number of political appointees under this administration will exceed 1,500.

Furthermore, the Privatization and Corporatization Board (PCB) issued a directive last April for state-owned enterprises to reduce their workforce by 33 percent. This decision follows concerns over excessive recruitment beyond operational requirements, which has resulted in significant financial losses for the companies and an unsustainable surge in the state's recurrent expenditure.

In line with this, state-owned enterprises have begun efforts to downsize their workforce. Companies such as Fenaka and HDC have already introduced voluntary redundancy schemes for employees wishing to resign. These measures have drawn significant public criticism against the government.