Saudi Fund to Support VIA Expansion and 400 Housing Flats

The Chief Executive Officer of the Saudi Fund for Development (SFD), Abdulrahman Al-Marshad, has confirmed during his visit to the Maldives that the fund will extend financial support for the development of 400 social housing flats and the expansion of Velana International Airport (VIA).

The Ministry of Finance announced on Sunday the arrival of Al-Marshad, who is visiting the Maldives for three days. Upon arrival, he was welcomed by senior officials from VIA.

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The financial support from SFD comes at a time when the Maldivian government had already outlined plans for VIA’s expansion. On January 4th, the government unveiled an initiative for a significant upgrade of the main airport. The project includes the construction of a new passenger terminal designed to handle 25 million passengers annually, the development of seaplane services, an expansion of fuel storage capacity to 100 million litres, a new maintenance, repair, and overhaul (MRO) facility, an enlargement of the cargo terminal to accommodate 300,000 metric tons, and a 73 percent increase in aircraft parking spaces.

This new financial commitment for VIA coincides with political opposition claims that the airport’s development has stagnated due to insufficient funds. The expansion project, which initially began under the administration of former President Abdulla Yameen Abdul Gayoom, saw the Saudi Bin Ladin Group contracted for the project at a cost of MVR 5.3 billion.

Following his election, President Dr. Mohamed Muizzu secured an additional MVR 1.2 billion in funding from the UAE government for the airport’s expansion. The project is expected to be completed by the second quarter of this year.