Ministry of Finance has announced that Maldives has secured two loans totalling 562.5 million Saudi Riyals from the Saudi Fund for Development.

The Ministry said these loans are earmarked for enhancing the country's healthcare system and for the development of Velana International Airport.

According to information the Finance Ministry shared with the Parliament's Public Finance Committee, a loan of 375 million Riyals has been allocated for airport development. The Ministry official stated that the interest rate for this loan is relatively low.

However, the Chair of the Public Finance Committee, MP Qasim Ibrahim of Maamigli constituency, noted that the interest rate is set at 2. percent, which could result in approximately USD 100 million in interest payments over the loan period.

The second loan, amounting to 187.5 million Saudi Riyals, is designated for strengthening the Maldives' healthcare sector. This loan also carries an interest rate of 2.5 percent, with the total interest expected to reach MVR 41.8 million. The total cost of servicing this loan is estimated at MVR 232.6 million, with a grace period of five years.

Finance Ministry stated that the healthcare loan would be used to implement measures ensuring patient safety in healthcare facilities and for constructing healthcare buildings. Plans include building 50-bed hospitals in three different islands of the Maldives.

The final repayment date for these loans is set for 2044.

These loans represent significant investments in the Maldives' infrastructure and healthcare system, aimed at improving both air travel capabilities and medical services across the country.​​​​​​​​​​​​​​​​