In a striking contradiction, President Dr. Mohamed Muizzu’s administration has set a national record for awarding the highest number of development projects to private Maldivian companies in a single day, even as the government continues to withhold outstanding payments owed to many of those same companies.

At a ceremony held Thursday morning at Barceló Nasandhura Malé, the president announced that 206 new projects had been awarded under the contractor-finance model, claiming it to be the largest mass project allocation in the country’s history. He further stated that these projects would begin within 21 days, with prompt government payments to follow.

However, this grand declaration comes just weeks after the president failed to meet his own publicly stated deadline to clear pending payments to private contractors. On October 2, he had pledged via social media platform ‘X’ to settle all outstanding dues within five weeks, a promise that remains unfulfilled.

In total, 216 projects have now been handed to 53 private companies over the past three days, to be implemented across 123 islands in all atolls. The administration has framed this as a major boost for the construction sector and the broader economy. Yet, questions linger over the government’s financial credibility and its ability to meet payment obligations while announcing record-breaking new commitments.

The president asserted that the awarded companies were financially sound and that projects had been allocated after reviewing three years of audited financial statements and relevant banking documents. Despite these assurances, concerns persist about the opaque selection process and the lack of open competitive bidding for many of the awarded projects.

The administration has also promised that funds for these projects will be disbursed without delay, a claim that stands in sharp contrast to the government’s ongoing failure to pay existing contractors, who have repeatedly raised concerns about halted operations and cash-flow difficulties due to unpaid dues.

While the government promotes this mass signing as a symbol of economic revival and progress, critics argue it reflects a troubling disconnect between grand announcements and financial reality. The decision to distribute hundreds of new projects without first honoring outstanding obligations has deepened doubts about the administration’s fiscal management and transparency.

The projects announced on Thursday span nine sectors, including housing, education, health, environment, fisheries, sports, religion and youth development. Among them, 825 housing units are slated for construction across 13 islands, a key pledge of the Muizzu government.

Despite the celebratory tone of the ceremony, the administration’s record-breaking project awards are overshadowed by growing skepticism over whether these ambitious promises can be delivered while existing debts to private contractors remain unpaid.