The rollout of the Development Bank of Maldives (DBM) is progressing as planned, according to Minister of Economic Development and Trade Mohamed Saeed. In a recent social media post, Minister Saeed highlighted the strategic significance of the institution, stressing that its phased approach is integral to the broader efforts to stabilise and strengthen the economy.
Founded on 16 November 2024 by President Dr Mohamed Muizzu, the institution aims to bolster economic growth and resilience. Minister Saeed outlined a three-phase rollout for the DBM, starting with the institutional setup, which is currently on schedule.
"The DBM’s business model prioritises institutional investors and large-scale infrastructure projects, with plans to introduce retail services at a later phase," Minister Saeed stated. "This phased approach is aligned with broader efforts to stabilise and strengthen the economy."
Minister Saeed further remarked, "[We are] overcoming the mess we were inherited from an irresponsible government which lacked complete discipline in managing public finance."
The DBM’s strategic objectives are crafted to bolster the long-term economic and social progress of the Maldives. These objectives include financing environmentally sustainable projects to help the country achieve its Net Zero targets and enhancing long-term investments by providing a range of financial products that support significant infrastructure and development initiatives requiring sustained investment.
The bank also focuses on supporting national development by facilitating both public and private initiatives that contribute to the country’s economic and social progress. Additionally, the DBM aims to promote financial inclusion by providing accessible financial products for scalable businesses. The administration envisions transforming the DBM into a regionally significant institution.
Minister Saeed elaborated that the second phase of the rollout will concentrate on securing investments for infrastructure development projects. This phase will be followed by the introduction of retail services, which is expected to enhance the country's economic strength.
As the country’s inaugural investment bank, the DBM aims to offer low-interest loans for major development projects and substantial private investments. Minister Saeed previously stated that the DBM will partner with both domestic and international financial institutions and investors to fund these initiatives.
The comprehensive services offered by the DBM extend beyond loans to include equity finance, fund syndication, and risk insurance. Committed to sustainable economic and social development, the DBM also aims to raise funds for infrastructure projects, address financing challenges for Public Sector Investment Programme initiatives through syndicated finance, and boost foreign currency liquidity within the Maldivian banking system.