Gov’t Signs with HDFC to Launch ‘Hiyaavehi Finance Scheme’

The government has entered into a partnership with the Housing Development Finance Corporation (HDFC) to introduce the ‘Hiyaavehi Finance Scheme’, aimed at facilitating affordable housing initiatives across the nation.

The agreement, formalised by Minister of Housing, Land and Urban Development Dr. Ali Haidar on behalf of the government, and Ahmed Zeenad, the newly appointed Managing Director of HDFC, outlines a financing scheme adhering to Islamic principles, featuring a modest 5% interest rate. This initiative is intended to cater to a wide spectrum of customers nationwide.

Under the ‘Hiyaavehi Finance Scheme’, two distinct options are offered:

A soft loan scheme for the local Atolls, with a maximum loan amount capped at MVR 1,000,000.

For the Greater Male’ Region and specific Urban Center Areas as designated by the government, a maximum loan amount of MVR 3,000,000 is allocated.

The government’s announcement of this new loan scheme follows President Dr. Mohamed Muizzu’s recent commitment to introduce a soft loan scheme aimed at supporting housing construction projects for the general populace.

Muizzu emphasised that while the scheme seeks to provide equal opportunities to all citizens, priority will be accorded to projects and housing initiatives in densely populated areas, particularly the Greater Male’ region.