President Ibrahim Mohamed Solih has stated the Greater Male’ Connectivity Project (GMCP) is not a burden on the national economy, and will continue as planned.
Speaking at a press conference held at the President’s Office on June 8, President Solih said the loan acquired for GMCP is to be paid over a long period at a very low interest rate, noting the repayment of the loan will also only begin five years after the project is completed. Therefore, the president said the project is not a burden on the economy, but would rather be the catalyst for economic progress once completed. As such, he noted other development projects associated with the bridge project, such as the development of Gulhifalhu Port, would reduce the prices of goods imported to the country.
During the press conference, the president also drew comparison to the expenditure undertaken on the Sinamale’ Bridge and the expected costs of the Thilamale’ Bridge to be built under GMCP. In this regard, the president revealed USD193 million was spent to build a 1.3km long bridge to link Male’ with Hulhule’ and Hulhumale’, while USD500 million is to be spent on building a 7.5km long bridge linking Male’ with Villimale’, Thilafushi and Gulhifalhu. He noted the Sinamale’ Bridge cost about USD6,325 per sqm, while the Thilamale’ Bridge is expected to cost USD3,832 per sqm. Therefore, he said Sinamale’ Bridge was 65% more expensive in terms of cost per area.
Furthermore, President Solih said although the contractor for GMCP had requested for an additional USD26 million to speed up the project, no agreement has been reached on this price. He said the government is in discussions with the contractor on speeding up the project and completing it by next year.
The GMCP is the single-largest infrastructure project in the Maldives and is expected to become a national economic engine, and a lifeline connecting Male' to Villimale', Gulhifalhu, and the Thilafushi Industrial Zone. The project is funded through a USD 400 million line of credit from Indian Exim Bank and by a USD 100 million grant from the Government of India.