On 25th December 2024, the Abu Dhabi Fund for Development announced a further financing of Dh147 million ($40 million) to help the Maldives’ Velana International Airport (VIA) project be completed. This comes after a Dh183.5 million ($50 million) loan was given in 2017 for the project’s early stages, underscoring the airport’s critical role in promoting tourism, a major economic pillar in the Maldives.
In addition to a structure for international flights, the Velana International Airport construction project will be enlarged to include up to 26 gates for passenger access to planes. It is anticipated that the airport’s overall capacity will rise to 7.5 million people per year, which the new extension will handle.
The Maldivian Finance Minister Moosa Zameer and ADFD Director-General Mohamed Saif Al Suwaidi signed the Abu Dhabi Fund finance agreement. The signing event was attended by a number of representatives from both parties.
“This funding reflects the critical role of ADFD in driving economic and social development in partner countries through transformative infrastructure projects. The additional support for the modernisation and expansion of the Velana International Airport will promote the Maldives’ growth, as it increases capacity to meet the rising demand from a thriving tourism sector,” Al Suwaidi said.
He went on to say that these initiatives support the development goals of the Maldivian government.
“ADFD is committed to deepening its partnership with the government of the Maldives, collaborating on impactful initiatives that fulfil the aspirations of the Maldivian people, generate employment opportunities, and drive sustainable development,” he said.
Zameer emphasized his nation’s common commitment to promoting sustainable development.
“The ADFD funding is instrumental in establishing a state-of-the-art international airport equipped with world-class services and technologies. This marks a major milestone in achieving our national goals of developing infrastructure in the transport sector, enhancing the travel experience, and boosting tourism revenues – key pillars of our national economy,” he said.
The following are significant loans for the Velana International Airport project:
- $200 million from Saudi Fund for Development
- $50 million from the OPEC fund
- $50 million from the Kuwait fund
- $373.9 million from China’s Exim Bank
Over the years, the new terminal at Velana International Airport, which is anticipated to be finished in 2025, has undergone a number of improvements, with significant turning points listed below:
- 21st May 2016: Agreement signed with the Saudi bin Laden Group to construct the terminal
- 1st November 2016: Bin Laden Group initiates survey work for the terminal’s construction
- 6th August 2018: Work on the new terminal commences, including the beginning of sheet piling
- 27th June 2019: The design of the new terminal undergoes changes, and a revised agreement is signed with bin Laden
- 17th December 2019: Work resumes, with the completion of the foundation
- 20th April 2022: The designs for the new terminal are unveiled
