In a significant stride towards bolstering the Maldives’ aviation infrastructure, President Dr. Mohamed Muizzu oversaw the signing of a pivotal loan agreement with the Saudi Fund for Development (SFD) today. The agreement entails an additional SAR 63.75 million (approximately USD 17 million) in funding dedicated to the expansion of Velana International Airport (VIA).
The signing ceremony, held at the President’s Office, featured Minister of Finance and Planning Moosa Zameer and SFD CEO Sultan bin Abdulrahman Al-Marshad formalizing the agreement on behalf of their respective entities.
އެކްސްޕޭންޝަން އޮފް ވެލާނާ އިންޓަރނޭޝަނަލް އެއާޕޯޓް ޕްރޮޖެކްޓްގެ ދެވަނަ އެޑިޝަނަލް ލޯންގެ އެއްބަސްވުމުގައި ދިވެހި ސަރުކާރާއި ސަޢޫދީ ފަންޑް ފޯ ޑިވެލޮޕްމެންޓާއިއެކު ސޮއިކުރުމުގެ ރަސްމިއްޔާތު pic.twitter.com/xRvZ21X3Nd
— The President’s Office (@presidencymv) April 14, 2025
This latest financial infusion marks the third tranche of support from the SFD for the VIA project, bringing the total Saudi contribution to USD 217 million. The funds are earmarked to expedite the development of a new passenger terminal designed to accommodate up to 7 million travelers annually, significantly enhancing the airport’s capacity.
Minister Zameer emphasized the strategic importance of the expansion, stating that the project is a national priority aimed at invigorating the tourism sector and stimulating economic growth. He acknowledged past delays but assured that the current administration is committed to accelerating the project’s completion.
SFD CEO Al-Marshad highlighted the longstanding partnership between the Maldives and the Saudi Fund, noting that since 1978, the SFD has extended 17 loans totaling USD 488 million to support various sectors in the Maldives, including healthcare, housing, and disaster management.
The VIA expansion project, initially launched in 2016, has also received substantial funding from other international partners, including the Abu Dhabi Fund (USD 90 million), the OPEC Fund (USD 50 million), the Kuwait Fund (USD 50 million), and the China Exim Bank (USD 373.9 million).
Upon completion, the new terminal will feature 40 departure gates, 38 immigration counters, and multiple aero bridges, positioning VIA as a premier aviation hub in the region. The expansion is anticipated to have a ripple effect on the Maldivian economy, enhancing trade, connectivity, and tourism, while also generating employment opportunities.
President Muizzu’s administration views this development as a testament to the nation’s forward momentum and its commitment to fostering strong international partnerships for sustainable growth.
