Fushidhiggaru lagoon

Maldives Republic | 11 months ago | urgent

Ex-Finance Minister Warns Rasmalé Advance from Reserves Risks National Bankruptcy

Former Finance Minister Ibrahim Ameer warned that President Mohamed Muizzu's directive to use the Maldives Monetary Authority's reserves for an advance payment on the Rasmalé dredging project could bankrupt the nation. Speaking for the MDP Economic Committee, Ameer criticized the plan as illegal and imprudent, noting the funds would go to a private company. He questioned how Greater Malé Financial District Limited, a newly formed state-owned enterprise, could secure a US$300 million loan. The government changed financing strategy in July, instructing three state firms to raise loans totalling US$600 million and authorizing use of MMA reserves or the Indian swap facility. Ameer accused the MMA of enabling politically motivated decisions. As of end-May, usable reserves were US$217.9 million. The Rasmalé project, launched in December 2023, has progressed slowly with only a small portion of 1,100 hectares reclaimed.

Maldives Republic | 11 months ago | concerned

Government Plans $600M Loan After Rasmalé Financing U-Turn

The government reversed its earlier contractor-financing model for the Rasmalé project and now plans to raise US$600 million in loans from three state-owned companies to fund reclamation at Fushidhiggaru Lagoon. A letter from the President's Office instructed Finance Minister Moosa Zameer to arrange an advance payment to resume stalled work. The funds will come from Greater Malé Financial District Limited (US$300 million), Maldives Airports Company Limited (US$200 million), and State Trading Organisation (US$100 million). Loan terms remain undisclosed amid poor credit ratings (Moody's Caa2, Fitch CC). Initially, the Muizzu administration promised no public funds and planned contractor financing by China Machinery Engineering Corporation (CMEC). The project has made limited progress, reclaiming only a small part of the planned 1,100 hectares.

Maldives Republic | 11 months ago | urgent

Muizzu Orders Advance Payment for Rasmalé Reclamation from State Reserves or Indian Swap Facility

President Mohamed Muizzu has directed the Finance Ministry to make an advance payment for stalled reclamation work at Fushidhiggaru Lagoon under the Rasmalé project, using either the Maldives' usable reserves or the Indian currency swap facility. The instruction was conveyed in a letter from the President's Office to Finance Minister Moosa Zameer on 1 July. The letter, signed by Principal Secretary Mohamed Shahid, stressed urgency. Usable reserves stood at US$217.9 million as of end-May. The government also asked state-owned companies to deposit loan proceeds into reserves. Reclamation started on 18 December 2023 but progress is slow. The Rasmalé project spans 12 sites, with several contractors including Mohan Mutha Exports and China Railway Construction Corporation.

Maldives Republic | 1 year, 10 months ago | optimistic

HDC to Resume Land Reclamation in Fushidhiggaru Lagoon in August

The Housing Development Corporation (HDC) is preparing to resume land reclamation in Fushidhiggaru lagoon in August, as part of President Mohamed Muizzu's Rasmalé project. Only 29 hectares have been reclaimed so far. Work will focus on site F (24 hectares) using sand from the same borrowing site south of Malé Atoll. The project faced controversy when President Muizzu launched it in defiance of parliament's decision to redirect MVR 400 million from the budget. After media reports of delays, the administration acknowledged on 29 March that the project had stalled, and President Muizzu promised completion by year-end.

Maldives Republic | 2 years, 3 months ago | neutral

Housing Ministry to Source Overseas Consultant for Ras Malé Development

Housing Minister Ali Haider confirmed seeking an overseas consultant for the Ras Malé eco-city development at Fushidhiggaru Lagoon. The 800-hectare project aims to be environmentally friendly and climate-resistant. The Housing Development Corporation (HDC) denied stalled work allegations. President Mohamed Muizzu oversaw an MOU with China Machinery Engineering Group Corporation (CMEC) for infrastructure works. No details have been gazetted or published on ministry websites, and progress lags behind EIA deadlines.