Rasheed Carpentry and Construction (RCCC) has been awarded a contract worth 631 million rufiyaa today to construct new council office buildings in 55 islands across the Maldives. The Ministry of Local Government stated that they have signed an agreement with RCCC for this project to build council buildings in 55 islands under a contractor finance scheme. The agreement was signed during a ceremony held at the ministry today. Executive Director Hamid Yousuf signed on behalf of the Local Government Ministry, while Managing Director Ibrahim Rasheed signed for RCCC.
The ministry said that the practical work on this project will begin this month and is expected to be completed within one year. The ministry also stated that providing furniture for the councils and building boundary walls are also included in this project agreement. Minister Adam Shareef told “Mihaaru” that the government’s agreement with RCCC is worth 631 million rufiyaa. As this is a contractor-financed project, the government will have to pay this amount to RCCC over five years after the completion of the buildings.
According to the Ministry’s previous statement, out of 55 council offices, 39 will be constructed as two-story buildings. This project was initially awarded to Malaysia’s Hexta Global company last January. However, five months later, that agreement was terminated, and the Ministry decided to seek a new contractor for the work. The agreement was canceled because the company did not accept the changes proposed by the councils.
Although the contract awarded to the Malaysian company under the contractor finance method was terminated, Minister Adam Shareef had previously stated that no compensation would need to be paid to the company. Along with this project, it has been decided to proceed with the construction of council offices in an additional 50 islands. The Letter of Exchange for this project, which is being carried out with the assistance of the Chinese government, was signed between the Maldivian government and the Chinese government last May.
