The government is set to significantly accelerate work on the Rasmalé mega housing project for the Malé region, with reclamation efforts expected to triple in speed this year, President Dr. Mohammed Muizzu announced during his visit to K. Gulhi.

President Muizzu highlighted the importance of the Rasmalé project in addressing the nation’s housing crisis. However, he acknowledged that progress on reclamation in the Fushidhiggaru Lagoon has been slower than ideal due to economic challenges inherited by his administration.

“We are working to bring in dredgers from multiple sources to initiate various aspects of the project simultaneously. This will substantially boost the pace of the work,” he stated.

The President reaffirmed the project’s potential to create significant housing and economic opportunities, benefiting not just the Malé region but the entire Maldives. "This initiative is key to solving our housing challenges, and we are confident it will deliver considerable advantages to the country," he said, emphasizing the government's commitment to making 2025 a landmark year for housing.

Initially, the reclamation contract was awarded to Capital Marine and Investment (CMC) in December 2023. However, the agreement was terminated after CMC failed to meet the government’s schedule. According to Construction Minister Dr. Abdulla Muththalib, this decision was influenced by the government's preference to arrange funding directly rather than offering land in Malé as compensation.

Reclamation work, overseen by the Housing Development Corporation (HDC), resumed in November 2024 after a six-month pause. The original plan, which relied on a land-for-reclamation model, faced hurdles after MVR 400 million was removed from the year's budget by the then MDP-majority parliament.

The Rasmalé project includes plans to develop 65,000 housing units, comprising both land plots and flats. Described by the administration as the ultimate solution to the country’s housing crisis, the project remains one of the government's top priorities.

While delays have impacted the timeline—reclamation was initially expected to be completed by August 2024—the government remains steadfast in its commitment to the project's success. The initiative is seen as essential for resolving housing challenges and driving economic growth in the Maldives.