Maldives calls for private sector engagement to develop SIDS

Foreign Minister Moosa Zameer said on Tuesday evening that there is a need to create a conducive environment for private businesses to make progress in the development efforts of small island nations.

He made the statement speaking at the Private Sector Round Table on the sidelines of the Fourth Conference of Small Island Developing States (SIDS4), currently taking place in Antigua and Barbuda.

The Minister said that based on the talks about SIDS, it was observed that many of the small island nations were deprived of the development that could be achieved through public-private partnerships.

With his past experience in the private sector, the minister suggested three things that could be done to increase private sector participation in the development of island nations. They include:

"All island nations in SIDS should be made attractive for the private sector and the private sector should be invited," Zameer said.

He said laws enacted in countries cannot continue to be difficult for businesses to carry on.

"There are countries among the SIDS countries whose economies have grown with these measures and have been included in the list of developed countries. We should learn from their experience and work to restructure our economies with new strategies," he said.

Zameer said most of the SIDS countries are dependent on fisheries and tourism and if the growth of any industry slows down due to external jolts, the economic growth of the countries slows down.

"Therefore, if the economy is restructured, the economy will be protected from such external jolts. This will also be an opportunity to develop the economy and introduce new industries," he said.

Zameer noted some sectors for governments to work in partnership with private businesses:

He also noted that the first proposal to invest in the Maldivian Special Economic Zone was also in the renewable energy sector.

“A new law is also being drafted to create a safe and enabling environment for foreign investments,” he said.

Secondly, Zameer called on private sector businesses to invest in small island countries.

"The governments of SIDS countries are always welcoming investors. Apart from the governments of these countries, we want to move forward with the private sector as well. It is rare to see countries providing those opportunities," Zameer said.

He said the lack of trade with the small island countries is a challenge for them to move forward and these countries are alone in many ways in a big world with many challenges.

"Things like raising funds for development needs are difficult. Small island nations have to go through an arduous journey to raise funds to invest in various projects in the international arena," he said.

Zameer assured investors that every dollar invested in SIDS countries will yield a huge return.

"With that investment, these countries will be seen as vibrant, developing countries. Investors will be rewarded for their investment with good compensation. We are ready to work together to achieve common goals," he said.

Thirdly, Zameer called on the international community to provide cooperation and assistance to each country in the areas it needs to achieve development and growth and increase productivity.

The areas of resource mobilisation, investment flow monitoring and data collection and analysis need to be strengthened, Zameer said, as a must for countries to attract investors.

"Countries know what the SIDS countries need. They know what we need to do to achieve it. We are asking you to provide assistance to achieve that and cooperate in the journey of development”.

These will reduce investment gaps and achieve development, he said.