The problem of illegal workers has soared to new heights as the country is listed on US State Department’s human trafficking watch list for a second year. To tackle the problem the military has been manning the immigration counters and human resources ministry to investigate the root causes of the problem. Prior to this takeover the two offices (immigration and human resources ministry) were not able to solve the problem of which office keeps which monies associated with the immigration and visa fees process. The problem was resolved that neither office gets to keep any monies related to expatriates visas, deposit fees, work permit, return ticket etc. Instead Maldives Inland Revenue Authority takes over the money matters from the two offices.
Briefly the various numbers associated with the illegal immigrants are as follows
130milion Rf as lost visa fees per year for the country.
Greater than 40000 estimated illegal immigrants in the country. The two separate databases kept by the Immigration Department and Human Resources Ministry has a variance of greater than 20000 which is making it difficult to estimate the size of the problem.
All legal expatriate worker pays 250rf per month as work visa fees.
1 office serves visas. 1 entry point for immigration.
Expatriates are estimated to remit 10m$ per month. The dollar shortage problem is frequently associated with this problem. However the single most drainer of dollars is high government spending.
Its also estimated that workers remit 100-800$ per month per worker which is contrary to popular belief that illegal workers work almost for pennies!
Recruitments agencies are charged 1500rf per worker as deposit.
To counter the unwieldy problem, the government resorted to a new boarder control system which also fell foul to corruption: The monies involved in the new boarder control system are $220m for 20 years for a company called Nexbis: A comparable system that is employed in in Sri Lanka costs 2.2$m to install and to develop!
The recent round of middle east turmoil and popular action to remove corrupt regimes from power started with an economic problem. Joblessness. The same kinds of problems are being experienced in more developed countries such as Spain, Italy and Greece. Here in Maldives, we had a culture of government appointing political and civil service jobs as favors for katheeb’s and atholhuverins and their friends and families for a long long time. At that time those who didn’t have the right connections had to make their own way to resorts or somehow manage to scrape a living. Time however has changed with the new popular administration and the changes that are currently being brought simply needs an urgency in creation of jobs for the local people. The current thinking for solving the housing problem is through real-estate business like as done anywhere else, which is almost a new concept for the country. There still is more needed to be done to facilitate this type of business such as changing existing laws on land ownership and laws on mortgage etc. All these measures will soon be taken up and fast-tracked as our version of ‘welfare-state’ is being built, after which the problem of jobs will come again around with a vengeance. This time it will be in the form of home-owners who needs jobs to pay for mortgage!
Fortunately we currently seem to have the capacity to provide jobs for prospective homeowners and taxpayers in the private sector as well, but its by no means in an orderly fashion. Our current job market is in serious chaos and it needs drastic restructuring to be efficient and useful for the local economy.
Broadly here are the industries and the situations thereof which needs to be taken in to consideration. Tourism industry:
Tourism industry provides most jobs for local economy and this industry can still provide more opportunities by quota adjustment by profession. Currently the situation is that almost any number of foreign workers for any position can be employed for any length of time. Apart from a requirement that 50%ratio of expats to locals workers need to be maintained (even which is not a hard or fast rule!) there is no more encouragement for employing local workers. Construction industry:
construction industry has vast potential for local economy but is actually the worst in terms of work opportunity for local workers. Its not a problem of lack of talent but rather lack of willingness to tackle corruption in the industry. Construction industry as its currently running is only useful for a handful of big contractors and a few smaller ones who are have the right connections to the big ones. Its almost a no-go area for local artisans and craftsmen because of lack of job security, poor work conditions, and extremely meagre wages designed to discourage local workers. Being businesses everyone tries to get the most profit which equates to finding the cheapest labor which is where the local worker looses out. Fishing industry:
This is one industry which can be better managed by innovative means. Only depending on one type of product, one type of boats, and one methodology to fish have exhausted the industry and drastic measures needs to be made to revive the industry. Agriculture industry:
Although we would love to call it an industry, we do not yet have much of agriculture in any comparable industrial scale. Because our islands are small and soil is not very fertile, traditional methods of agriculture as practised in other countries will not work. Things like hydroponics and aquaculture are perfectly suitable for some varieties and needs to be propped up. A most pressing problem for this industry is financing and small business assistance, which also needs to come up somehow somewhere and the sooner the better! Manufacturing:
Apart from The Static-Company (they export R/O plants) we do not yet seem to have any exportable manufacturing products but there are many encouraging signs. We have successful businesses in bottling plants for water and soft-drinks and a few canning factories for fish cans. What we can successfully introduce to local economy with little effort and financing include, cookies, biscuits, soap, detergent, lotion , perfume etc. These small scale productions can be introduced to aspiring enterprising souls through chambers-of commerce activities and small businesses initiatives. Financing:
There is great urgency in propping up institutions and mechanisms to help create and sustain other industries by providing capital and finance services. With the upcoming income tax regulations and associated restructuring, its hoped that the government will not be forced to take loans from local banks which is the cause of all financing woes the the country faces.
Fighting with terrorists in paradise must be a complicated thing because as a general rule, terrorists and paradise shall not mix: terrorists are destined not for paradise but for hell.
Coming across a piece of bad journalism on these same lines, we felt the need to comment on the story as the essay tries to give the impression that our beautiful islands are in danger of being occupied by terrorists- which needless to say is solid fantasy.
First of all, the essay printed in the-diplomat.com doesn’t seem to have been prompted by any new development in the tourism sector in the Maldives or anywhere else in the country. The essay simply revises some old news from 2007 to match the words to the heading of the story. The heading of the story contains the desired wordings to attract the most amount of traffic from search engines which is the goal of all news outlets. But just coming out of the blue and saying Maldives is fighting terror in paradise for no other reason than making a sensational story, is the culminating point of bad journalism! Nobody can beat this!
However the circumstances of our time is such that fantasy and drama sells and truth can always take a backstage. 😦