Democrats' business policy: concessional loans, PayPal access
There have been many changes in the last 15 years, but the income of the common people has not improved, Nasheed said.
The Democrats on Tuesday unveiled their Faseyha Viyafaari business policy, which includes concessional loans for Small and Medium Enterprises (SME) as well as the introduction of popular international payment gateways like PayPal and Stripe.
The Democrats held events across the country at 8:30 pm to launch the policy, which is meant to encourage self-employment. The main event was the party's founder and Parliament Speaker Mohammed Nasheed’s event live from B. Thulhaadhoo.
The policy is designed to address existing core problems in the industry, Democrats said. The biggest challenges facing businesses in Maldives are:
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The equity ratio in the condition of the loans and the requirement of the collateral
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No loan approval unless there is a political connection; Difficulties in obtaining a loan due to an expressed opinion or supporting party
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Lack of suitable financing products for small businesses and high duties on goods and equipment needed to run businesses
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Lack of adequate opportunities to market and sell own products
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Having to buy dollars from the black market at higher rates
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Lack of access to international payment gateways and extreme difficulties in bringing money in the form of TT
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Encroachment of State-Owned Enterprises (SOEs) in sectors where SMEs can flourish
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Even in sectors where there are many self-employed local people, foreigners can do business without any obstacles
The solutions proposed under The Democrats policy are:
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Eliminate equity and mortgage requirements of loans and provide funds and resources for good business plans
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Provide space for innovative businesses to start work in other countries
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Introduction of a rating system for SMEs
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Light manufacturing and value addition facilities
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Eliminate discrimination and provide opportunities for everyone of every age in every island in Maldives
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Introduce business incubators and link businesses with venture capital
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Protecting intellectual property rights such as new inventions, patents, copyrights and trademarks
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Represent Maldives at major trade shows and fairs to showcase in international markets
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Waive off duty on required equipment, tools and materials and make them available easily
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Eliminate foreign exchange shortages and ensure easy access to dollar
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Ensure the availability of international payment gateways such as PayPal and Stripe
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Prevent the entry of SOEs into the activities of public businesses and divest the economy from these sectors
Speaking at the launch of the 'Faseyha Viyafaari' policy on Tuesday evening, Nasheed highlighted the problems in the business sector in the Maldives and discussed ways to address them.
There have been many changes in the last 15 years, but the income of the common person has not improved, he said.
"More work needs to be done to improve the general situation of the people and increase the income of the people. Otherwise, the infrastructure that is being built will not be used to its full potential," he said.
For example, Nasheed said the purpose of a harbour is to create a market, exchange goods and services, move goods from one island to another, and facilitate inter-island transport. Therefore, it is necessary to look at how the harbour facilitates the recovery of the investment made to the harbour and how it can be used in the best possible way.
Nasheed assured that the Democrats will work to find a solution to the problems in the interests of the people.
