A new fund has been launched to make housing finance more accessible and affordable across the banking system under the Inclusive National Affordable Housing Scheme Regulation, published by the Maldives Monetary Authority (MMA).

The regulation establishes and governs the Inclusive National Affordable Housing Scheme and its funds, aimed at ensuring that housing finance is available to citizens at affordable rates in line with Islamic financing principles. The scheme, which will run for five years, primarily targets residents of the Greater Malé Region.

According to the regulation, the fund and the scheme will be managed by a financial authority designated by MMA. Each bank is required to contribute between 10 and 15 per cent of the total amount owed to the fund, unless otherwise determined by the Authority.

Financing under the scheme will be provided through two facilities – Type A and Type B – with MMA deciding the allocation of funds for each. Unless specified otherwise, the tenure for each financing facility will be a minimum of 25 years, though buyers may request shorter terms.

The Inclusive National Affordable Housing Scheme is expected to strengthen access to long-term, Shariah-compliant housing finance, taking a key step toward addressing the growing housing needs of urban populations in the Maldives.