Maldives Inaugurates Its First Development Bank to Support National Growth

The Development Bank of Maldives (DBM) was officially inaugurated last night by President Dr. Mohamed Muizzu in a ceremony held at the Islamic Center. Following the opening, the President also visited the bank’s office to mark the occasion. The DBM is the first development bank established in the Maldives and is expected to play a crucial role in the nation’s economic growth.

One of DBM’s main goals is to address funding challenges for the Public Sector Investment Program (PSIP) projects by using syndication finance. The bank is also focused on attracting foreign currency deposits to the Maldivian banking system. In addition to funding government projects, DBM will also finance private sector initiatives, helping to drive both infrastructure development and business expansion.

The Maldives Monetary Authority (MMA) granted the bank its operating license last month, clearing the way for it to begin operations. In his speech at the opening ceremony, Minister of Economic Development and Trade Mohamed Saeed highlighted the importance of DBM for the Maldives’ economy. He noted that the country has a long history as a trade-oriented nation and that the bank would support efforts to diversify and expand the economy.

“The bank will provide financing for infrastructure and business expansion, supporting sustainable economic growth,” Minister Saeed said. He also mentioned that DBM would offer a range of financial services, including investment banking, asset management, and Islamic finance.

Noel Gregor Paterson-Jones, CEO of DBM, emphasized the bank’s role in strengthening the economy, particularly by supporting renewable energy, fisheries, agriculture, and the digital economy. He stressed that DBM would also focus on aiding small and medium enterprises (SMEs) while working towards the long-term goal of transforming the Maldives into a developed economy by 2040.

The establishment of DBM represents a significant step in the Maldives’ efforts to build a more resilient economy, diversify its financial sector, and create opportunities for sustainable development.