Loan Guarantee

Government to give a 3 billion Rufiyaa loan guarantee to Sun Shiyam

  • Finance Ministry is all set to grant a 200-million-dollar loan to Sun Hotels and Resorts
  • The loan is to develop Maafaru Airport along with Dhigurah as a tourist resort

K. Male' 2017 Jan 15 | Sun 20:35 local 5,143

President Yaameen along with Sun Siyam - Raajjemv

Raajje Mv has learned that the government of Maldives is all set to give a loan guarantee to Ahmed Siyam (Sun Siyam).

Raajje MV has learned that Finance Ministry of Maldives have settled all the arrangements for a 200-million-dollar loan which is expected to be granted by a bank of China to Sun Hotel and Resorts.

The government has gazette a new policy on releasing Sovereign Guarantees for a fee last December. Compiled by the Ministry of Finance and Treasury, the policy states that guarantees would be issued only to companies that have government shares or are registered in Maldives. The guarantees will be granted only for projects in the tourism sector, social housing that meets government conditions, and state authorized development projects, according to the policy.

Raajje MV has learned that the loan which is set to be approved for Sun Hotel and Resorts is to develop a resort in Noonu Atoll Dhigurah along with an airport at Noonu Atoll Maafaru.

On completion, the resort will be the largest tourist offering in Maldives, creating more than 2,500 (two thousand five hundred) jobs for the local community. The resort on Dhigurah will have 14 different room categories, 15 food and beverage outlets as well as an underwater restaurant.

The loan is all set to be granted for the construction of the resort along with Maafaru Airport while the government has not announced that the project was handed over to any company. However, Raajje Mv has learned that the project is awarded to Sun Travel Hotels and Resorts among the two companies which showed interest.

Initially the project was handed over to Millennium Capital Investment (MCI) which is owned by Hamid Ismail, who is a relative of former Vice President Ahmed Adeeb. The project was awarded after it was subsidized that the project developers would be given two islands for the establishment of resorts.

The foundation of the nearly USD 17 million project was laid by former VP Adeeb on 23rd September 2015.

Later anti-corruption commission (ACC) announced that they were investigating a case where an extra 13 hectares of and were allocated for the construction of Maafaru Airport, though it was awarded under the condition that the land needed for the airport must be reclaimed by the company.

Last updated at: 3 months ago | Reviewed by: Hussein Fiyaz

Comment on Article

To share a news drop us an email to [email protected] or contact us at 3007773