Maldives to form investment bank authority

The Cabinet on Sunday has decided to establish a special agency called 'Maldives International Financial Authority' to establish a development bank in the Maldives.

The Cabinet decided the matter on Sunday after discussing a paper on the establishment of a development bank in Maldives.

The ministers discussed the paper and made some decisions, Minister Abdullah Nazim told a press conference at the President's Office on Sunday evening.

The Maldives International Financial Authority's objective is to issue onshore banking licenses, Nazim said. The Monetary Authority of Maldives (MMA) will formulate the relevant regulations after the formulation of the law, he said.

The new law, Nazim said, is about the establishment of international financial centres.

“The Cabinet decided to draft a bill to bring the law into existence and submit it to Parliament for approval. As a result, the bank will have legal status,” Nazim said.

Nazim did not give any more details about it.

The establishment of a development bank to provide concessional financing for development projects and the like was also mentioned during the presidential campaign. The government's 'Week 14' roadmap also includes work on this.