Former Maldives National Defence Force (MNDF) officer Mohamed Najah has been named the new Managing Director of FENAKA Corporation. The announcement was made by the Privatisation and Corporatization Board (PCB), following the resignation of Mohamed Muaz, the former MD of FENAKA.
A New Leader for FENAKA Corporation
Najah, who hails from Malé, brings 21 years of experience from the MNDF to his new role. He also holds a master's degree in logistics, positioning him as a capable leader to steer FENAKA through its current challenges. His appointment marks a new chapter for the state-owned utility company.
The resignation of Mohamed Muaz, who had been in charge of FENAKA since November 28, 2024, comes at a time of financial instability within the company. Muaz cited the inability to improve FENAKA’s operations as the primary reason for his departure. He explained that despite his best efforts, the company’s expenses have exceeded its revenue, leaving FENAKA unable to sustainably provide its essential services to the public.
The Struggles of FENAKA Under Muaz’s Leadership
During his tenure, Muaz faced numerous challenges in managing FENAKA, with the company’s financial difficulties becoming increasingly evident. Earlier this year, Muaz had warned of the deteriorating situation, noting that he could no longer see a viable path forward for the utility provider. His resignation letter painted a bleak picture of FENAKA’s condition, stating that the company had reached a point where it could not cover its operating costs.
Muaz’s letter emphasized the gap between revenue and expenses, highlighting the unsustainable nature of the company’s operations. Despite efforts to turn things around, he expressed frustration with the lack of tangible results. This decision to resign reflects the tough situation faced by FENAKA and its management in recent months.
What Lies Ahead for FENAKA?
With Najah now at the helm, many are hoping for a shift in FENAKA’s fortunes. The challenges ahead are clear, but Najah’s extensive experience in logistics and leadership may offer a fresh perspective. As the new MD, he will likely focus on stabilizing the company’s finances, improving service delivery, and finding long-term solutions to ensure FENAKA’s sustainability.
The transition also comes at a time when FENAKA is expected to tackle issues such as the growing demand for reliable utility services and the need for efficiency in operations. How Najah approaches these issues will be critical in shaping the future of the company.
FENAKA’s ability to recover from its current financial state will depend on how effectively the new leadership can address the company's systemic issues. As the country’s utility provider, FENAKA plays a crucial role in maintaining the infrastructure that supports daily life for many Maldivians. The pressure is on Najah to lead the company through this challenging time and implement necessary reforms.
