Over 2,200 Apply for Hiyavahi Housing Loan Scheme, Minister Muththalib Says
Minister for Construction, Housing, and Infrastructure, Dr Abdulla Muththalib, speaking at a press conference held in the President’s Office on December 28, 2025 | Photo: Ministry for Construction, Housing, and Infrastructure
Minister of Construction, Housing, and Infrastructure Dr Abdulla Muththalib has revealed that 2,256 people have applied for the Hiyavahi financing scheme, which provides housing loans at low interest rates.
The Hiyavahi scheme includes three categories: Rahvehi, Saharu, and Fahimalé. Speaking at a press conference at the President’s Office, Dr Muththalib said 1,329 applications were submitted under the Rahvehi category, which offers loans of up to MVR 1 million. He said 586 applications were received for the Saharu category, which provides loans of up to MVR 3 million, while 341 applications were submitted under Fahimalé, which offers loans of up to MVR 6 million.
Dr Muththalib said Hiyavahi financing is not a direct government loan but is provided through banks. He noted that under a presidential initiative, loan costs for building on private land have been reduced. The minister added that the government has also eased equity repayment requirements, lowering the contribution from 10 percent to 5 percent.
“However, since it is a loan issued by the bank, the bank’s policies will also apply. The bank will not give loans to those who have taken loans in the past but have not repaid them,” he said.
Dr Muththalib said 717 applicants have so far been approved for loans under the scheme, amounting to a total of MVR 821 million. He expressed hope that loans worth MVR 1 billion would be issued in the current round.
He also said the process for submitting approved drawings has been simplified, with policy amendments allowing city councils to submit council-approved drawings to be stamped by engineering and architectural offices.
The loans are issued at an interest rate of five percent and are available for new home construction, with a repayment period of up to 25 years. Low-interest loans are also offered to complete unfinished housing projects, as part of President Dr Mohamed Muizzu’s pledges. In addition to the Ministry of Housing, the scheme is implemented through Bank of Maldives, Housing Development Finance Corporation, and Maldives Islamic Bank.
