Development Bank operations to start in July

Minister of Economic Development and Trade Mohamed Saeed on Sunday said, the Development Bank will become operational in July 2024.

Development banks are financial institutions with the focus of introducing new businesses, industrial activities, and other economic initiatives in countries.

The banks are primary lenders for new ventures with loan facilities to setup businesses and activities as well.

Speaking at the signing ceremony, where Maldives government signed with Dubai's International Freezone Authority (IFZA) to develop special economic and financial services zone planned in Fonadhoo and the Maldives economic gateway planned for Ihavandhippolhu, Minister Saeed noted the development bank will revolutionize the country's growth trajectory.

"With God's grace, for the first time, the Development Bank in the Maldives will become operational in July," he added.

"We already have garnered strong endorsements by several private sector investors, who have shared confidence and readiness to participate in this new endeavor," Saeed said.

Establishing a Development Bank in the Maldives is a key pledge of the Maldives President Dr. Mohamed Muizzu.

Earlier in January, the government established Maldives International Financial Services Authority (MIFSA) to develop the financial sector in the country, and bridge the gap between the Maldives and international financial bodies. Former Vice President Abdulla Jihad was appointed as the institution's Chairperson.