BML Signs Agreement to Build 3,000 Housing Units Under National Affordable Housing Scheme

Bank of Maldives (BML) and the Ministry of Construction, Housing and Infrastructure have signed a major land allotment and development agreement to advance the Inclusive National Affordable Housing Scheme, a key nationwide initiative mandated by the Maldives Monetary Authority (MMA). The agreement secures land in Hulhumalé Phase I and II, as well as Vilimalé, for the development of 3,000 housing units aimed at expanding home ownership opportunities for Maldivians.

The initiative stems from a recent Cabinet decision to launch the National Housing Affordability and Accessibility Project, which seeks to ease growing housing pressures by collaborating with financial institutions to develop homes under a lease-to-own model. Under new regulations introduced by the MMA, all commercial banks are required to allocate between 10% to 15% of their total loan portfolios to the Inclusive National Affordable Housing Scheme. In line with this mandate, BML has established a fully owned subsidiary, BML Affordable Home Leasing Pvt Ltd, approved by the MMA and structured to comply with Shari’ah principles.

At the signing ceremony held this morning, the agreement was formalized by Minister of Construction, Housing and Infrastructure Dr. Abdulla Muththalib and Managing Director of BML’s new subsidiary, Hassan Shaam. The event marks the first such agreement under the national scheme, positioning BML at the forefront of the country’s newest and most ambitious affordable housing effort.

Speaking at the ceremony, BML CEO and Managing Director Mohamed Shareef said the Bank acknowledges both the responsibility and opportunity presented by the national directive. “As the largest bank in the country, holding over 52% of the total loan market share, we recognize the tremendous privilege and responsibility we have in positively contributing to this critical project. We are proud to be the first bank in the country to begin work towards implementing this initiative with the signing of today’s agreement,” he said.

Shareef added that the financing and construction of the units will be undertaken through qualified local and international developers, with the homes to be offered on a lease-to-own basis for first-time homeowners. Residents will make structured monthly payments while leasing the property, and ownership will be transferred upon completion of the payment period. He emphasized that the project would be delivered in compliance with local regulations and international best practices to safeguard the interests of shareholders and customers alike.

BML has already invited selected developers to submit Expressions of Interest and will proceed with detailed evaluations and due diligence before signing Memorandums of Understanding to advance the construction phase of the 3,000 housing units.

The agreement represents a pivotal step in the government’s broader mission to strengthen affordable housing access and provide sustainable, long-term homeownership pathways for families across the Maldives.