A Dubai-based family office of a Qatari royal is spearheading the initiative of building a $8.8 billion crypto and blockchain hub in Malé, Maldives.
The planned investment would exceed the Maldives’ annual GDP of around $7 billion, the Financial Times reported.
The deal, which was signed on May 4, comes from MBS Global Investments, that manages assets worth approximately $14bn. The investment firm aims to finance the Maldives investment by tapping high-net-worth individuals and its family office network to form a consortium.
The project is due to be completed by 2030, an official release noted. Further, the blockchain hub aims to attract global financial institutions, fintech pioneers, and global digital Nomads.
Financial Freezone Aims to Triple Maldives’ GDP in 4 Years
Per the masterplan, the planned financial hub aims to triple the Maldives’ GDP within four years. It is also projected to generate over $1 billion in revenue by the fifth year, the FT report read.
Maldives Finance Minister Moosa Zameer said that the nation needs to “take the leap” to expand from tourism and fisheries. The country’s debt in the next two years is “the biggest challenge that we have,” he told the publication.
“[The investment] is something we see as a potential contributor to bring us out of certain difficulties that we are in.”
What Does MIFC Offer?
Dubbed the Maldives International Financial Centre (MIFC), the financial freezone in the capital city will provide a corporate tax-free zone.
Additionally, there are no residency requirements for entrepreneurs, making it an attractive destination for global digital nomads.
The MIFC would have a state-of-the-art conference premise with a capacity for 3,500 people, the website noted. “The multi-purpose convention venue will host leading global conferences, cultural events and innovation-driven hackathons, establishing Male as a leading assembly hub,” the release added.
“The financial centre will be a symbol of economic resilience and will set a new global benchmark that will massively benefit the people of the Maldives for generations to come,” President Dr Mohamed Muizzu said.
Besides, the plan would have residential and office towers and offer a fully climate-resilient infrastructure. These will be “powered exclusively by renewable energy,” Nadeem Hussain, CEO of MBS Global Investments noted.
Also, the phased project would be funded through equity and debt, and commitments worth between $4 billion and $5 billion have already been secured, Hussain added.
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