Maldives Fund Management Corporation (MFMC) has launched an SME Innovation Fund to support small and medium enterprises.
The USD 1.3 million worth SME Innovation Fund launched by MFMC is aimed at supporting innovative products and work. The fund will support innovative and inventive products and services from SMEs and help find a market for their products. The fund will also provide additional assistance to SMEs.
At a function held in Hotel Jen, the fund was launched by Minister of Economic Development Fayyaz Ismail. Speaking at the function, Minister Fayyaz said the fund aims to operate wider than just providing the necessary funding for SMEs as the funding will largely be provided by SME Development Finance Corporation (SDFC).
The minister said the fund will help SMEs to grow and develop, noting economic development is dependent on the growth of SMEs. He further anticipated the fund will grow with the support from private businesses.
The SME Innovation Fund will support investments in technology, hospitality, health services, agriculture, environmental protection, and arts and craft in addition to providing the funds to develop new technologies necessary for the financial sector. The funding windows of the SME Innovation Fund are February, May and August.
On the occasion of the launch, MFMC has introduced a Maldives Innovation Quest for SMEs. The SMEs that submit best technological and other interesting product proposals will be given the opportunity to participate in a technology expo in Dubai in March.
MFMC is a 100% state-owned enterprise established under a presidential decree, mandated with working on diversifying and increasing investments in the Maldives in addition to creating a more conducive environment for foreign investors.