Minister of Construction and Planning, Dr. Abdulla Mutthalib has said that the Rasmal'e reclamation project has not been progressing according to plan and that the Administration is in the works to bring the project on par again.

The project was awarded to Sri Lanka's Capital Marine and Civil Construction Company (CMCC), to reclaim a total of 1,153 hectares. The company will be leased 10 hectares from Hulhumale' and 60 hectares from Rasmale' for 99 years.

Construction Ministry said that although field work has begun on the bund wall, the project has been stalled since an initial 10 hectares were reclaimed.

During a press conference on Thursday, the Ministry said that the project was awarded to CMCC to be carried out in a manner that would not burden the Administration. However, CMCC has been unable to raise the required funds and as such, the project has been delayed.

Minister Dr. Mutthalib said that the Administration was exploring other ways to get the Rasmale' reclamation project on schedule although the project will now be delayed than the expected completion date.

"The President had previously mentioned that the project would be completed within 8 months of commencement. However, the project will face delays but we are trying our best to start land reclamation this year and begin water and sanitation installation," he said.

He added that one of the biggest challenges in carrying out the project is that MVR 400 million has been deducted in the budget for the project. As such, the project could not be carried out by the Ministry directly.

"So we have to move forward with a different financing model, which we are working on. The details will be revealed soon," he said.