Minister of Construction, Housing and Infrastructure Dr Abdulla Muththalib has announced that the Government is broadening its housing policy to ensure access to homeownership for citizens across all income levels, a shift from previous administrations that primarily focused on social housing.

Speaking at a ceremony held to hand over official documents to recipients of loans under the Hiyaavehi Financing Programme, Minister Dr Muththalib stated that earlier housing policies created a dependency on social housing, even among citizens who could afford to purchase property through commercial financing. This, he said, had constrained the availability of affordable housing options in the market.

He explained that the current Administration aims to create a more inclusive housing system that provides options suited to different income groups. Under the new policy, high-income earners will have access to luxury housing, middle-income families can benefit from affordable housing schemes, and low-income individuals who are unable to secure financing or build on their own land will be eligible for subsidised loans or social housing support.

Minister Dr Muththalib also highlighted the Government’s efforts to make home financing more accessible through the Hiyaavehi Financing Programme, which subsidises commercial bank loans. The programme lowers interest rates from between 9-12 per cent to 5 per cent, reduces equity requirements, and introduces a Government guarantee mechanism to further ease access to housing finance.

He noted that the initiative has received over 2,000 applications, with 710 applicants invited to submit documentation after eligibility screening. The programme will be relaunched next year, incorporating lessons from the current phase to enhance accessibility and effectiveness.

According to the Minister, the overarching goal is to enable every Maldivian to own a home based on their financial capacity, reducing dependency on Government-funded housing and promoting a sustainable housing market.