The Maldives Industrial Development Free Zone PLC (MIDFZ) has entered into a framework agreement with Singapore-based Capital Asia Investments Pte. Ltd. (CAI) to advance the Maldives Economic Gateway (MEG) project, a key initiative in the nation’s economic diversification strategy. 

The agreement, signed on Saturday, sets the stage for a collaborative approach to develop the project, which aims to strengthen the Maldives’ economic resilience under the leadership of President Dr Mohamed Muizzu.

MIDFZ, established in January 2024, consolidates five state-owned entities to focus on enhancing the nation’s economic security. In addition to overseeing the MEG project, MIDFZ is also involved in initiatives related to food security and the creation of strategic storage facilities for essential goods across the Maldives.

The MEG project is designed to transform the Ihavandhippolhu region into a thriving commercial and logistics hub, aligning with the Maldivian government’s broader economic goals. The framework agreement, signed by Shimad Ibrahim, Managing Director of MIDFZ, and Tan Kun Chiao George, Chief Commercial Officer of CAI, outlines the next steps for the project, including defining its scope, conducting cost assessments, financial evaluations, and establishing commercial terms. The development will take place under the Special Economic Zones framework, which offers tax and regulatory benefits to attract investment.

The Ministry of Economic Development and Trade has highlighted that this partnership reflects a shared commitment to creating a sustainable, environmentally responsible economic initiative that will drive long-term growth and resilience for the Maldives. Through this collaboration, the government aims to pave the way for a more diversified and robust economy, securing a prosperous future for the country.