Saudi Fund For Development Signs $230M In Loans For Maldives' Airport And Health Projects

The Saudi Fund for Development (SFD) Chief Executive Officer Sultan bin Abdulrahman Al-Marshad signed two development loan agreements today with Maldives Minister of Finance Dr. Mohamed Shafeeq. These agreements aim to finance two significant projects in the Maldives: the Velana International Airport development project, valued at $100 million, and a health sector development project, valued at $50 million.

The Velana International Airport development project includes constructing an airline lounge building for both international and domestic flights, a sea lounge, and increasing the airport’s capacity to accommodate 7 million passengers annually. The goal is to facilitate passenger movement, improve air cargo services and commercial activities, and create expansion capabilities to reach 15 million passengers annually. This initiative aims to enhance commercial growth and economic prosperity in the Maldives.

This loan adds to five previous loans provided by the SFD since 1978, totalling approximately $225 million. The Saudi Ambassador to the Maldives Matrek bin Abdullah Al-Ajalin was present at the signing ceremony.

The second agreement focuses on financing a health-sector development project aimed at improving healthcare standards in the Maldives. This project involves establishing three hospitals on three islands with a total clinical capacity of 150 beds. It is expected to enhance health services for residents, limit the spread of diseases and epidemics, and facilitate access to treatment.

Hulhmale Island Development

Sultan bin Abdulrahman Al-Marshad also participated in the partial opening of the Hulhmale Island development project. The SFD is contributing to this project through a development soft loan worth $80 million. The Hulhmale Island development includes constructing a sea canal for boat transportation, building four bridges, and constructing two ports along with beach protection works.

This project is anticipated to create 160,000 job opportunities on the island, contributing to social and economic development. It supports vital opportunities for development, knowledge, and capacity building.

SFD's Long-term Commitment

Since 1978, the SFD has supported the Maldives through financing various development projects and programs. To enhance infrastructure in the Maldives, the fund has provided 16 development soft loans totalling more than $470 million across sectors such as transport, communications, water and sanitation, and health.

With inputs from SPA