Malé Water and Sewerage Company (MWSC) has opened MVR 200 million bond offering as part of its plan to raise a total of MVR 400 million through the Maldives Stock Exchange. The initiative is aimed at securing low-interest funding to support the company’s ongoing and upcoming projects.

According to MWSC’s Managing Director Abdul Matheen Mohamed on MMTV’s Bodu Khabaru programme, the company’s revenue currently consists of 55 per cent from water services and 45 per cent from non-utility income. He explained that the company is aiming to increase its non-utility revenue to 60 per cent of the total revenue by undertaking more projects to ensure financial sustainability.

He noted that MWSC has acquired new projects worth MVR 1.3 billion across more than 20 islands during the year. However, he added that expanding such projects requires significant investment in resources and equipment, which is typically associated with high-interest financing. To address this, MWSC has issued a bond valued at MVR 400 million, with MVR 200 million already made available to the market.

Matheen stated that the bond, which carries an interest rate of 7.5 per cent, offers a more cost-effective solution compared to financing from financial institutions, where rates are typically between 10 per cent and 11 per cent.

He also highlighted MWSC’s efforts to improve operational efficiency, stating that cost-saving measures implemented over the past year have reduced expenses by MVR 170 million. As a result, the company expects its net profit to double this year compared to the previous year, without increasing costs for its customers.