President ratifies amendments to the Decentralisation Act granting various authorities to councils

President Ibrahim Mohamed Solih has ratified the amendments to the Decentralisation Act. The President ratified the amendments at first-ever councilors seminar “Viavathi Raajje” held at Crossroads Maldives with the participation of over 200 councilors.

The new amendment grants financial independence to local councils and allocates 33% of council seats to women. In addition, local councils will receive 40% of revenue from leasing land, islands and lagoons, and 100% of the revenue generated from land and other resources in the direct jurisdiction of the council. Councils will also receive 5% of the domestic budget allocated under the State Budget. The act has allocated a budget of over USD 103 million for local councils in 2020, which is over two-fold higher than the budget allocated for councils in 2019. In addition, all Public Sector Investment Programmes (PSIP) under USD 324,500 will fall under local councils as sectoral grants.

Furthermore, Local Government Authority (LGA) has been [granted the authority to take action on members of local councils if they are found to have abused their authorities, such as misusing the funds and resources allocated to councils. LGA must conduct an inquiry into any abuse of power by the councils and publish any actions taken against a member of a council in the Government Gazette.

Moreover, city councils, as well as presidents and vice presidents of local councils, will be elected through a public vote for a 5-year term.

Parliament passed the amendment to the Decentralisation Act on December 5, with votes from 76 parliamentarians.