Economic Minister Mohamed Saeed has announced that the country's first-ever development bank will be operational by July this year.

Speaking at a function held at Meerumaa Hotel today, Saeed said that with the Development Bank, the history of the country's financial sector can be changed. Apart from the government, some private investors will also have stakes in the bank, he said.

Saeed said some foreign investors have already shown interest in the bank. He said the development bank would provide more funds to the government and businesses in the country to invest.

Saeed had earlier said that the government decided to set up a development bank as there was no space in the existing banking system in the country to do what people wanted. He added that the bank would be more convenient to fund people's development and housing financing should also be made easier.