Firuzul: Plenty of time after Covid pandemic to finish projects

The Office of the President-elect Dr. Mohamed Muizzu voiced concern over the recent extension granted to contractors of Public Sector Investment Program (PSIP) projects on Wednesday, saying that the contractors had plenty of time after the Covid-19 pandemic to finish the projects.

A circular signed by Finance Minister Ibrahim Ameer on Tuesday reads that the Economic Council had decided to grant a six-month extension to government contractors to finish projects signed between when the state of emergency was declared in 2020 and May 30, 2023, in order to alleviate the various difficulties, they face.

Mohamed Firuzul Abdulla Khaleel, the spokesperson for the Office of the President-elect, slammed the decision during his daily press briefing on Wednesday afternoon.

He said that such decisions do not fall under the Economic Council’s mandate.

Firuzul said that the Finance Ministry does not have the authority either, and that such decisions can only be made by specific individuals empowered under the Public Finance Regulation.

He added that such decisions must also follow reviews of individual projects.

“Further, it is stipulated that before granting extensions, it must be ascertained that the delay isn’t a result of negligence on the part of the contractor,” he said.

Firuzul said that acting in a manner which precludes an advantage to state where a benefit exists is wrong.

He said that it has been one year and eight months since the state of public health emergency was lifted, giving contractors plenty of time to finish projects.

“Therefore, we believe that providing an extension to the contract period to alleviate unprecedented challenges which weren’t clear when the agreements were signed constitute as acting in a manner which precludes an advantage to state where a benefit exists,” he said.

Firuzul said that such decisions, which come with just eight days left until the new administration takes office, poses a challenge to the incoming administration in implementing its policies.

He urged the outgoing administration against making such decisions.