Maldives Airports Company Limited (MACL), on Sunday announced a string of austerity measures aimed at reducing its expenditure.
The measures, from MACL which runs the Velana International Airport (VIA) is aimed at supporting the Maldives government in its ongoing efforts to reduce state expenditure.
MACL announced the measures during a Sunday morning press briefing, where Ibrahim Shareef Mohamed, the company’s Managing Director told reporters the company will roll out 10 key measures.
This includes cutting MACL’s spending on fuel, utility services, consumables, transport, administrative expenses, bank charges, inventory expenses, and the expenses incurred for events and functions.
Shareef also said the generator sets in MACL are not in the best state, resulting in increased spending on diesel to keep them running.
He said MACL is now engaged in a power upgrade project, which will be completed in the next 15 days, and will begin using new generator sets. Shareef promised these measures will reduce cost of power generation by 20%.
Highlighting the company’s workforce of 4,000 employees, Shareef said MACL incurred significantly on paper – needed for various administrative and clerical tasks – and said the company aims to become paperless within an year.
Besides this, the MACL Managing Director said they plan to renegotiate with the banks to lower bank charges, hold trainings online, and cap spending on events at MVR 100,000 per event.
Shareef further assured MACL will not engage in a company-wide layoff or pay cuts under its cost-cutting measures, adding that the company will not delay works on the new VIA passenger terminal or disrupt its other services.
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