Finance ministry now oversees Maldives development bank, Saeed says

Finance ministry is currently managing the Development Bank of Maldives (DBM), which is being developed to provide concessional financing for development projects, Economic Minister Mohamed Saeed said Monday.

Speaking at a press conference at the President's Office, Saeed addressed concerns over the lack of public updates from DBM since its establishment. He stated that while the Ministry of Economic Development had previously shared information regarding the bank’s formation, operational oversight has since shifted to the Ministry of Finance.

“The bank’s work is progressing under the Ministry of Finance,” Saeed said, noting that the institution has been formally established and is operational.

Saeed noted that although earlier administrations had acknowledged the need for a development bank, the current government had established one in practice. He said DBM is not intended to function like a commercial bank, where daily deposits and withdrawals occur, but rather to serve as a financial institution focused on development.

“For large-scale infrastructure projects, a sovereign bank from the Maldives can access international financial markets and raise funds backed by sovereign strength,” he said.

The bank has received its licence and its administrative framework is in place. Saeed also addressed the resignation of a foreign CEO who had been appointed to the bank, stating that the government will continue its operations with a suitable replacement, either locally or internationally.

He added that the government remains committed to the bank’s development and its role in supporting the Maldivian economy.

The establishment of DBM was one of President Mohamed Muizzu’s campaign pledges. The cabinet approved the creation of the bank in January 2024, and the Maldives Monetary Authority issued its operational licence on 16 October 2024.

DBM is located in the Umar Arcadia building, which also houses Allied Insurance.

The government has outlined several objectives for the development bank, including: