Maldives National Housing Policy
Introduction:
So far there is no written or formally acknowledged housing policy in the Maldives, and housing is by and large governed by traditional practices of land allocation and individual construction. However, there have been a number of projects and interventions over the years and the government is increasingly required to intervene on grounds of equity and social justice as well as economic efficiency and environmental sustainability. As a result, in 2005, the Ministry of Housing and Urban Development (MHUD) was formed, charged, inter alia, with the formulation and implementation of a National Housing Policy.
Traditionally, housing in the Maldives was a private affair, left to the households to construct on inherited land or land that had been allotted for the purpose. Given the spatial economy of the Maldives, this was usually by subdividing or sharing an existing parcel, or sometimes, through reclamation. The increasing scarcity of land, high costs of construction and reclamation, the need to accommodate many more uses, and to respond to the need and desire of households to locate in areas that are better serviced, secure and have better economic prospects requires a more considered, transparent and planned system of intervention in the form of a comprehensive policy on housing that is supported by all tiers of government, the private sector and the community.
Population Policy of the Maldives:
The National Population Policy has been formulated in 2005 as a result of a series of discussions and deliberations on an initial discussion paper that was submitted by Ministry of Planning and National Development to the Population Programme Coordination Committee. This Committee is an inter-sectoral high level committee chaired by the Minister of Planning and National Development. This statement also includes various population-related policies expressed in the Vision 2020 and other relevant sectoral documents.
Regional Development Housing Policy:
The Regional Development Policy of the Government is aimed to achieve a balance of social, economic and physical development between atolls by focusing on promoting key areas in each region and investing in the necessary social and physical infrastructure to cater for the regional growth. It also focuses on strong regional economic linkages combined with a developed transport network for boosting regional growth. This growth of regions would require housing to cater for both the natural growth of the population in the region as well as the growth due to migration, especially to the focused key areas within the region.
Formation of Housing Development Finance Corporation (HDFC):
With the experience of the pilot scheme and dire need for establishment of financial institution that provides finance for housing with terms that are more favorable than commercial banks that were operating in the country, Housing Development Finance Corporation (HDFC) was established by the Government in March 2004.
Introduction of Condominium Registration:
Condominium registration (strata titling) was introduced along with the enactment of the Land Law in 2002, which had a chapter on condominium registration. This has allowed individual registration of units in a building, which in turn has facilitated ownership housing, where individual units could be mortgaged, sold and/or given with title. This has also facilitated group of individuals who have a joint ownership of a piece of land to construct a building jointly rather than subdividing the plot. Thus, condominium registration has allowed many owners to benefit from a plot of land by creating more housing units.
Housing Policy Objectives:
The Government’s objective for housing policy should be both simple and fundamental – to ensure a decent home for every household in the country. This means the availability of affordable housing of acceptable quality, in sufficient quantities in the right location, and for those beyond the reach of the market, provision of social housing, through the creation of an enabling environment that maximizes the involvement of the private sector and the community, with public intervention targeted at reducing vulnerability, disadvantage and discrimination and protection of the environment. This means having strategies for:
- Affordability of housing to be extended through availability of land and housing finance to improve access to housing, especially for the disadvantaged and vulnerable groups such as single-headed households.
- Quality of housing to be improved through community-based neighbourhood design and layouts, provision of social amenities and sustainable settlement environments.
- Quantity of housing to be increased to reduce overcrowding and ease pressure on prices and pre-empt downward-raiding of social housing.
- Location of housing to support patterns of economic development and promoting and protecting the environment.
- Social Housing to be made available for households whose circumstances and socio-economic situation are such that their needs are beyond the market, such as the poor, disadvantaged and vulnerable groups, women and single-headed households and those affected by disasters and displacement.
Conclusion:
Given the current and expected situation in the country, it is unlikely that there would be the financial or manpower resources to be able to do everything in an ideal manner. Therefore, it is necessary to take a strategic look at the tasks involved in order to develop an appropriate response.