XM-DAC-903-SII-43969
International Finance Corporation
BML Loan I Project
The proposed project consists of a senior secured loan of up to US$50 million and a potential mobilization of up to US$50 million to Bank of Maldives (BML or the Bank), a state-owned bank in the Maldives (Project). The proposed investment will be in the form of a USD senior secured loan to BML with a tenor of up to 3 years. The investment is in response to the crisis caused by the coronavirus (COVID - 19) global pandemic which has adversely impacted the tourism industry, resulting in a liquidity crunch in related sectors. The proposed IFC funding will be on-lent by the Bank through working capital loans to support companies and SMEs in the tourism and services sectors in the Maldives, which have been impacted due to COVID-19.
Stakeholders impact: The Project will provide the financing required to support the tourism-related businesses, including those SMEs in the tourism value chain, with their working capital requirements, and to expedite their post crisis recovery. The Bank has designed a working capital financing program to support the sector in the wake of the COVID-19 crisis, and the Project will extend the Banks's effort to this critical sector, which would, in turn, have a positive cascade to related value chains.
Market Impact: BML is the largest bank in Maldives and has significant presence across the economy, reaching the majority of private sector in the critical tourism sector. By supporting the largest financial institution for the private sector, the Project is supporting market resilience during the COVID-19 pandemic. The Project will help preserve the financial sector's ability to support the economic recovery effort as conditions normalize.
BANK OF MALDIVES PLC
Bank of Maldives PLC Nandana Senevirathne Chief Financial Officer +960 333 0243, Mob: +9607994331 nandana@bml.com.mv 20094 Boduthakurufaanu Magu, Male, Maldives https://www.bankofmaldives.com.mv/
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
Maldives
BML is headquartered in Male, Maldives and has 38 branches across Maldives.
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
O-AA - Commercial Banking - General
Total: $50.00 million
50000000.00
50000000.00
BANK OF MALDIVES PLC
Summary of Investment Information
Summary of Investment Information - Anticipated Impact Measurement & Monitoring (AIMM) Assessment and Main Environmental & Social Risks and Impacts of the Project
See Environmental and Social Management System (ESMS) summary tab.
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SII/43969/bml-loan-i-project
Development Results
Development Result Description
Indicator
CORE - E and S Management Systems (Y/N)
Compliance/Enhancement
Stakeholders impact: The Project will provide the financing required to support the tourism-related businesses, including those SMEs in the tourism value chain, with their working capital requirements, and to expedite their post crisis recovery. The Bank has designed a working capital financing program to support the sector in the wake of the COVID-19 crisis, and the Project will extend the Banks's effort to this critical sector, which would, in turn, have a positive cascade to related value chains.
Market Impact: BML is the largest bank in Maldives and has significant presence across the economy, reaching the majority of private sector in the critical tourism sector. By supporting the largest financial institution for the private sector, the Project is supporting market resilience during the COVID-19 pandemic. The Project will help preserve the financial sector's ability to support the economic recovery effort as conditions normalize.
Stakeholders impact: The Project will provide the financing required to support the tourism-related businesses, including those SMEs in the tourism value chain, with their working capital requirements, and to expedite their post crisis recovery. The Bank has designed a working capital financing program to support the sector in the wake of the COVID-19 crisis, and the Project will extend the Banks's effort to this critical sector, which would, in turn, have a positive cascade to related value chains.
Market Impact: BML is the largest bank in Maldives and has significant presence across the economy, reaching the majority of private sector in the critical tourism sector. By supporting the largest financial institution for the private sector, the Project is supporting market resilience during the COVID-19 pandemic. The Project will help preserve the financial sector's ability to support the economic recovery effort as conditions normalize.
XM-DAC-903-SII-43786
International Finance Corporation
Dhiraagu II
Dhivehi Raajjeyge Gulhun Private Limited (Dhiraagu or the Company) is a leading provider of mobile, broadband internet, international connectivity and telephony services in the Maldives. The Project aims to support the Companys capex plan for the next 2-3 years including its participation in the SEA-ME-WE-6 (SMW-6) international submarine cable consortium.
The main project level outcomes are (i) increased capacity of broadband networks through the construction of the first direct- route submarine cable providing digital connectivity between the archipelago of Maldives and the global Internet, reducing its dependency on other countries, and resulting in quality of broadband connectivity for individuals and businesses, and (ii) increased employment opportunities for women in technical roles. Beyond the project, this investment is expected to result in increased competitiveness of the market for broadband connectivity by inducing a market-wide improvement in affordability via competition channels.
DHIVEHI RAAJJEYGE GULHUN PUBLIC LIMITED
Dhivehi Raajjeyge Gulhun Public Limited Dhiraagu Head Office, Ameenee Magu, P.O. Box 2082, 20403, Male, Maldives https://www.dhiraagu.com.mv/
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
0 0 0 0 0 0 0 0 0.0000 https://www.dhiraagu.com.mv/
Maldives
The main SMW6 international submarine cable starts at France and ends in Singapore and is expected to have 3 more core landings along the route in Egypt, Djibouti, India and 7 branch landings extending from the main cable in Maldives, Malaysia, Bangladesh, Sri Lanka, Pakistan, Oman and the Kingdom of Saudi Arabia. The SMW-6 cable route will be broadly aligned with those of the earlier SMW projects.
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
N-AC - Mobile Telephony
Total: $35.00 million
35000000.00
35000000.00
DHIVEHI RAAJJEYGE GULHUN PUBLIC LIMITED
Summary of Investment Information
Summary of Investment Information - Anticipated Impact Measurement & Monitoring (AIMM) Assessment and Main Environmental & Social Risks and Impacts of the Project
See sections Identified Applicable Performance Standards, Stakeholder Engagement, Environmental and Social Action Plan, E&S Categorization Rationale.
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SII/43786/dhiraagu-ii
XM-DAC-903-SPI-5061
International Finance Corporation
Villa Shipping & Trading Co. Ltd.
SUMMARY OF PROJECT INFORMATION Project Name Maldives-Villa Shipping & Trading Co. Pte. Ltd. Region Asia Sector Tourism Project No 005061 Projected Board Date June 29, 1995 Company Name Villa Shipping & Trading Co. Pte. Ltd Technical Partner and/or Major Shareholders The Company is wholly owned by Mr. Qasim Ibrahim, a leading local businessman engaged in tourism, shipping, trading, contracting and marine transfers. LTI International Hotels, Germany, will provide technical and marketing assistance to the resort. Description of Location Nalaguraidhoo (Sun Island), a 50 hectare island located 110 km south west of Male'' on the southern tip of Ari Atoll in the Maldives. Project Cost and Proposed IFC Investment US$21 million (under review). An IFC Loan of US$6 million is proposed. Description of Company and Purpose of Project The Company already operates three island resorts in the Maldives with a total of 382 rooms. The project is to construct a fourth resort on Sun Island leased by the Government to the company for this purpose in October 1993 for 21 years. Tourism is a key sector in the Maldivian economy catering to the growing tourist traffic from Europe, East Asia and the Pacific region. This will be IFC''s first investment in the Maldives. Environmental Category and Issues This is a Category A project according to IFC''s environmental review procedure. Environmental, health and safety issues associated with this project include site selection, protection of coastal resources, liquid effluent, solid wastes, land use, fire protection and life safety. The Sponsor has prepared a detailed Environmental Assessment (EA). The Sun Island resort will be one of the first resorts to operate an advanced secondary treatment facility. Solid waste will be disposed of via composting and a high temperature incinerator. Provisions for fire and safety will be in accordance with World Bank guidelines. Villa Shipping & Trading Company''s diving school rigorously follows a reef diving code which includes strict policies to prevent damage to coral reefs. The Environmental Assessment and EA Executive Summary are available from the Public Information Center. Date SPI sent to PIC: May 26, 1995 For additional Information contact: Corporate Relations Unit - telephone (202) 473-7711 - facsimile: (202) 676-0365. Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).
VILLA SHIPPING & TRADING COMPANY PVT.LTD
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
Maldives
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
AB - Resort Hotel (Including Lodges)
Total: $6.00 million
6000000.00
6000000.00
VILLA SHIPPING & TRADING COMPANY PVT.LTD
Summary of Project Information
See sections Identified Applicable Performance Standards, Stakeholder Engagement, Environmental and Social Action Plan, E&S Categorization Rationale.
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SPI/5061/villa-shipping-trading-co-ltd
XM-DAC-903-SPI-10241
International Finance Corporation
Maldives Leasing Company
The project involves the establishment of the first private sector leasing company in the Republic of Maldives, Maldives Leasing Company Limited (MLC or the Company). The project will address the country''s large demand for long-term equipment financing in the tourism, construction, transportation, and fishery sectors. This demand is also sparked by entrepreneurs who seek capital to generate self-employment opportunities as fishermen, transport operators for tourism industry, and construction equipment suppliers. MLC is expected to play a pivotal role in the Maldivian economy, diversifying the financial system and offering term finance. IFC''s role in this project is traditional in nature. By investing in MLC, IFC will pioneer the establishment and the development of the first professionally managed private leasing company in the Maldives. IFC has introduced a strong technical partner, NDB, one of the leading financial institutions in the region, to provide the essential know-how. MLC will in turn provide the much-needed long-term finance to the country key economic sectors. IFC plays also a catalytic role in this project: its presence is expected to help mobilize long term financing from some of the banks, provident funds, and insurance firms. IFC has also initiated discussions with the regulatory authorities to establish the legal and the regulatory framework to enable the provision of lease/asset financing in the Maldives. In summary, IFC''s participation in this first private sector company, alongside sound sponsors and strong technical partners, will set a high standard for the industry and at the same time encourage others to enter. In addition to create a new institution, this project will introduce, in the Republic of the Maldives, new technology, know-how and skills transfer. NDB is expected to bring into the Maldives international experience in marketing, structuring, accounting, and management. Also, the project is expected to contribute to industrial development, and contribute to employment generation in this small island economy.
MALDIVES FINANCE LEASING COMPANY PVT LTD
maijazuddin@ifc.o rg
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
Maldives
The company will be headquartered in Male, the capital of the Republic of Maldives. The project will be carried out in the Maldivian region.
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
LB - Leasing Services
Total: $4.25 million
3000000.00
1250000.00
3000000.00
MALDIVES FINANCE LEASING COMPANY PVT LTD
1250000.00
MALDIVES FINANCE LEASING COMPANY PVT LTD
Summary of Project Information
See Environmental and Social Management System (ESMS) summary tab.
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SPI/10241/maldives-leasing-company
XM-DAC-903-SPI-11246
International Finance Corporation
Maldives Villa Shipping 3
VSTC was incorporated in April 1986 by Mr. Qasim Ibrahim to represent his interests in trading and shipping. In 1988 the company diversified into tourist resorts, which now dominate VSTC''s operations. The company, with US$ 108.4 million in total assets and a net worth of US$ 60.9 million as of June 30, 2001, is one of the larger private companies in the Maldives. Having received land for storage purposes from the government of Maldives, VSTC is now expanding its trading operations by implementing storage facilities at Thilafushi island. VSTC also intends to make its resorts world class by improving environment compliance and safety facilities. VSTC corporate investment program consisting of : i) Infrastructure for Trading Operations (US$23.2 million) including installing storage tanks for diesel, kerosene and petrol (38,000 cubic meters), LPG storage and filling plant (2,538 MT), and cement storage silos and packaging plant (8,000 MT). ii) Energy Saving Equipment (US$4.3 million) including solar water heating systems, heat recovery systems and rationalisation of the installed power generating capacity. These systems would reduce energy consumption by 10-20%, resulting in savings of about US$0.65 million per annum. iii) Environment and Safety Infrastructure (US$3.8 million) including fire detection and safety systems, exhaust chimney systems, and waste water treatment plants. iv) Debt Restructuring of up to US$ 9.5 million of short-term debt. IFC Role IFC would provide long term funding for the proposed project which is not available in the Maldives. The banks operating in the Maldives restrict funding to 3-4 years and offer small amounts at high fixed interest rates of 12% - 14% p.a. in US$ terms. Resort owners have to rely mainly on financing arrangements with tour operators, which have high hidden interest costs of 20% - 30% p.a. IFC would help the company to demonstrate its commitment to protecting the local environment and improving its own environment and safety infrastructure. The Sun Island, partly funded by an IFC loan, has demonstrated good environmental performance (being the first winner of the "Presidential Green Globe Award" in the Maldives) and the current investment is expected to bring the other resorts to similar standards of compliance. IFC would also encourage VSTC to improve its corporate governance and management structure. Development Impact The proposed project benefits tourism, the most important and fastest growing sector in the Maldives with considerable spillover effects on the national economy. The proposed upgrade of VSTC''s environmental and safety facilities and implementation of energy saving measures, will further yield quantifiable and non-quantifiable economic benefits. The expansion of VSTC''s trading activities increases the choices available to the Maldivian consumer and leads to more efficient delivery and market linked prices of essentials goods such as diesel, LPG and cement. The project will extend the fuel distribution network to the more remote islands, which are at present not fully served. World Bank Group Strategy The project is consistent with the IFC strategy for the Maldives which includes encouraging private sector participation in promoting key sectors such as tourism, and related infrastructure, and the World Bank strategy of assisting development in an environment friendly way.
VILLA SHIPPING & TRADING COMPANY PVT.LTD
Mr Qasim Ibrahim Villa Shipping & Trading Co. Pvt. Ltd. Villa Building Ibrahim Hassan Didi Magu P O Box 2073, Male Maldives Phone: +960 325195 Fax: +960 325177
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
Maldives
The project site consists of 5 resorts located in the Maldives, namely: Fun Island (Bodufinolhu) in South Male Atoll; Holiday Island (Dhiffushi) in South Ari Atoll; Paradise Island (Lankanfinolhu) in North Male Atoll; Sun Island (Nalaguraidhoo) in South Ari Atoll; and Royal Island (Horubadhoo) in Baa Atoll and (ii) Villa Hakatha on Thilafushi island near Male.
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
AB - Resort Hotel (Including Lodges)
Total: $15.00 million
15000000.00
15000000.00
VILLA SHIPPING & TRADING COMPANY PVT.LTD
Summary of Project Information
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SPI/11246/maldives-villa-shipping-3
XM-DAC-903-SPI-20539
International Finance Corporation
Taj Maldives Private Limited
Taj Maldives Private Limited (TMPL, or the company) is a subsidiary of Taj Asia Limited affiliated with the Taj Group, one of the leading hotel chains in India and part of the Tata Group. TMPL owns and operates two resorts in the Maldives. The company is proposing to refinance its existing debt of $17 million, on a limited-recourse basis (the project). IFC will consider a long-term loan of up to $8.5 million to TMPL and further assist through a B-Loan syndication of an additional $8.5 million.
Due to limited appetite of banks for long-term financing in Maldives, companies operating in the Maldives have found it difficult to raise long-term debt on a limited-recourse basis. In the past, TMPL financed capital expenditure in its two properties with a combination of short term debt, cash generation, inter-company loans and small equity investments. TMPL would now like to refinance these loans totaling $17 million with longer-term loans, on a limited or non-recourse basis.
TAJ MALDIVES PVT LTD
Arvind Kaimal,Taj Maldives Limited
No. 10 Medhuziyaaraiy Magu
Male, 20-05
Republic of Maldives
Telephone + 00(960) 317530
Facsimile + 00(960) 314059
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
Maldives
TMPL is located in the Republic of Maldives and operates Taj Exotica and Taj Coral Reef resorts on the islands of Emboodhu Finolhu and Hembadhoo in the Male Atolls.
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
AB - Resort Hotel (Including Lodges)
Total: $8.50 million
8500000.00
8500000.00
TAJ MALDIVES PVT LTD
Summary of Project Information
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SPI/20539/taj-maldives-private-limited
XM-DAC-903-SPI-24227
International Finance Corporation
Universal Maldiv
Universal, the largest tourism company in the Maldives, has requested a loan of up to $25 million to finance the following:
- rebuilding of 52 bungalows and a spa at the Full Moon Resort (156 rooms) damaged by the recent tsunami;
- refinancing of the loan for the Huvafenfushi resort (42 rooms) that was completed in 2004; and
- other corporate purposes.
UNIVERSAL ENTERPRISES PRIVATE LIMITED
Mr. A.M.M. Risvi, Group Financial Controller
39, Orchid Magu
PO Box 2015
Male 20-02
Republic of Maldives
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
Maldives
All resorts of Universal are located on individual islands in the Republic of Maldives.
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
AB - Resort Hotel (Including Lodges)
Total: $150.00 million
150000000.00
150000000.00
UNIVERSAL ENTERPRISES PRIVATE LIMITED
Summary of Project Information
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SPI/24227/universal-maldiv
XM-DAC-903-SPI-24480
International Finance Corporation
Wataniya Telecom Maldives Pvt. Ltd.
Wataniya Telecom, the second cellular operator in Kuwait, currently serving 3.2 million subscribers in the MENA region, was awarded the second nationwide GSM license in the Maldives through its local subsidiary Wataniya Maldives Private Limited (WTM or the company) in November 2004 for a license fee of $1 million. The license award was the result of an open, competitive auction with other bidders including Telekom Malaysia, Syriatel Mobile Telecom and the Bharat Consortium. The project consists of the financing of network roll-out and related start-up losses as well as a fiber optic submarine cable, for a total estimated project cost of $70 million equivalent. IFC has been asked to provide a senior loan of $17.5 million, to be complemented by a similar $7 million loan from the OPEC Fund and a revolving facility of $5 million from the Bank of Maldives.
OOREDOO MALDIVES PVT. LTD.
Mark Hanna, Chief Executive Officer Wataniya Telecom Maldives Pvt. Ltd. 2nd Floor, Urban Development Building Hulhumale Republic of Maldives +960 962 1111 (Tel) +960 35 0519 (Fax)
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
Maldives
Wataniya Maldives Private Limiteds headquarter is located on Hulhumale. By building a nationwide greenfield cellular network, the company is providing mobile phone services to all inhabited islands in the Maldives.
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
AC - Mobile Telephony
Total: $20.00 million
20000000.00
20000000.00
OOREDOO MALDIVES PVT. LTD.
Summary of Project Information
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SPI/24480/wataniya-telecom-maldives-pvt-ltd
XM-DAC-903-SPI-25498
International Finance Corporation
Maldives SL
The project involves the establishment of a five-star 142-Villa resort in the Maldives to be known as the Shangri-La Maldives Resort & Spa.
The project will be the first major development in the Addu atoll, which is a remote and underdeveloped region of the Maldives. Historically, there have been limited economic opportunities in this atoll and tourism development is essential for creating jobs in the region. The Shangri-la resort is expected to generate direct and indirect employment. In addition, the project has the potential to provide a demonstration effect and kick off the development of a broader resort industry in the Addu atoll.
ADDU INVESTMENTS PVT LTD
Mr. Abel Damergi, General Manager Shangri-La Maldives Resort and Spa 1/B Aifaanu building, Boduthakurufaanu Magu, Malé, Maldives Telephone: (960) 33-21-368 Fax: (960) 33-217-22
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
Maldives
The project is located on Villingili island, a greenfield uninhabited site in the Addu atoll. Villingili Island is adjacent to the island with the Gan airport (an old RAF airbase that has recently been upgraded) and about a one-hour flight from the main international airport in the capital city of Male.
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
AB - Resort Hotel (Including Lodges)
Total: $50.00 million
50000000.00
50000000.00
ADDU INVESTMENTS PVT LTD
Summary of Project Information
See sections Identified Applicable Performance Standards, Stakeholder Engagement, Environmental and Social Action Plan, E&S Categorization Rationale.
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SPI/25498/maldives-sl
XM-DAC-903-SPI-26089
International Finance Corporation
Housing Development Finance Corporation Plc. - Maldives
The project entails the privatization of Housing Development Finance Corporation Limited (HDFCL or the company) in the Republic of Maldives, which is currently 100% owned by the Government of Maldives (GoM). IFC intend to invest up to $1.8 million as equity of up to 15% stake, in, along with up to $10 million of long term debt to support the growth of the privatized company. After privatization, the government ownership in the company would be reduced to 40% or below. The investment would be supplemented by an IFC Advisory Services package to assist HDFCLs smooth transition from a government owned company to a private-sector firm. Housing Development Finance company of India (HDFC) and Asian Development Bank (ADB) are also invited to participate in this privatization project. As part of the privatization program, the GoM has also planned to list the company on the Maldives stock exchange. The Maldives, with a population of about 300,000, is an island nation consisting of 20 atolls which encompass a territory of about 1200 islands stretching over of an area of 90,000 sq km in the Indian Ocean. About 200 islands are inhabited by local communities. After the 2004 December tsunami, the population on Male, the Capital island with a land area of 1.9 sq km, has surged from below 80,000 to over 110,000, putting an immense pressure on the existing 8,000 housing units. With 58,000 inhabitants per sq km on the Island and an average of 14 inhabitants per dwelling unit, Male is undoubtedly one of the most densely populated and congested places on earth. To ease the housing shortage and reduce the congestion in Male, the GoM has reclaimed an island, Hulhumale, about 2 km from Male, and planned to build as many as 8,000 new housing units and commercial facilities there. HDFCL, the first and only housing finance company, was established by the GoM in 2004 to provide long-term loans to residents who are eager to migrate to the new island. However, despite the demand for housing finance, the company has not been able to extend any new loans over the last year due to funding constraints. The company had run out of the initial equity funding invested by the government, and had not been able to borrow from commercial sources without the full government guarantee. The GoM, for prudent fiscal reasons, has decided not to continue the practices of providing credit guarantees to the company. After a period of hiatus, the GoM has invited IFC, ADB, and HDFC of India, to help privatize the company, and to list the company on the local stock exchange.
The development impact of this project would be: - Development of commercially viable, long-term sustainable housing finance market in Maldives: The company extends housing finance, and therefore offers an opportunity of home ownership for middle and lower-income borrowers on a commercially viable, long-term sustainable basis. While HDFCL had been a significant source for housing finance in the country; in the absence of long term debt/equity financing, it is unable to meet the existing demand from creditworthy clients. The project will help jump start the housing finance market to assist a majority of the population in the country to obtain housing finance to realize their dreams of owning their homes. - Privatization and institution-building of the countrys first private-sector housing finance company: HDFCL has not been able to develop its business and provide relief to the severe housing shortage in the country. It ceased operations due to lack of access long-term commercial funds and more fundamentally, due to its complete reliance on government guarantees which could not be sustained. A successfully privatized company, operating along the principles of being commercially viable and long-term sustainable, would generate great and sustained relief to the housing shortage situations in the country, improve the quality of life for many citizens, and contribute to creation of a vibrant financial sector of the country. - Development of housing related SME/supply industries: Through extensive linkage effects, the housing industry will contribute to the development of SMEs that supply labor and materials for the construction and improvement of homes, since most of the construction activity is conducted through contractors and the informal sector. Sufficient demand for the supplies provided by the informal sector would prompt development of such segments in the economy into more formal and better managed companies leading to a more professional construction sector. - Support the development of a new urban center: GoMs investment in Hulhumale and its efforts to spread the capital island thereby easing the pressure on Male, has not succeeded so far. This has primarily been due to the lack of housing finance for individuals, which has led to less than 5% of Hulhumale island being built and occupied as of date. Supporting HDFCL would allow for further development of Hulhumale by facilitating migration to the Hulhumale, creating economic opportunities in the newly developed projects and by extension, improve living conditions in Male.
HOUSING DEVELOPMENT FINANCE CORPORATION PLC
Ms. Raheema Saleem, Managing Director Housing Development Finance Corporation Limited 5th Floor, H. Fulidhooge Building, Kalaafaanu Higun Male, Republic of Maldives Telephone: +960 333 8810 Fax: +960 331 5138
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
Maldives
The head office of HDFC is located in Male, the capital of Maldives.
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
EA - Primary Mortgage Institutions
Total: $12.00 million
7500000.00
4500000.00
7500000.00
HOUSING DEVELOPMENT FINANCE CORPORATION PLC
4500000.00
HOUSING DEVELOPMENT FINANCE CORPORATION PLC
Summary of Project Information
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SPI/26089/housing-development-finance-corporation-plc-maldives
XM-DAC-903-SPI-28646
International Finance Corporation
Universal CPLP
Universal Enterprises Private Limited (UEPL) has proposed a series of investments to increase energy efficiency and reduce water consumption across four of its resorts in the Maldives. Overall, project implementation is expected to reduce energy consumption by 15.9% and water consumption by 4.7% annually. The recommended project encompasses the optimization of steam, water, lighting, refrigeration and air-conditioning systems and diesel generator (DG) sets. Together, these Cleaner Production investments qualify for funding via IFCs Board-approved Cleaner Production Lending Pilot facility, a $20 million facility that enables IFC to provide Cleaner Production sub-loans to its existing portfolio clients. UEPL is one of the largest integrated tourism companies in the Maldives, with a portfolio of eight resorts and allied businesses including a cruise ship, travel agencies, tour operations, transportation, water bottling, resort supplies, etc. which together employ over 3,000 people. UEPL has been an IFC client since 2005.
The implementation of the CP Project is expected to result in: Reduction of greenhouse gas emissions (GHG) by 5,012 tons p.a., or ~25% of the total existing GHG emissions of the four resorts; Savings of 21,447 m3 of water p.a., i.e. a reduction in average water consumption per room for the four resorts of 4.7%; and Savings of 4 million kilowatt hours of electricity p.a., i.e. average annual energy savings per room for the four resorts of 15.9%. This project will also serve to demonstrate that the investments proposed by UEPL at its resorts in the Maldives are cost-effective, leading to wider adoption of such projects within the industry.
UNIVERSAL ENTERPRISES PRIVATE LIMITED
Mr. Risvi A. Majeed Chief Financial Officer 30 Orchid Maqu, P.O. Box 2015 Malé 20-02, Republic of the Maldives. Email: risvi.majeed@universalenterprises.com Phone: +960 332 3080 Fax: +960 332 5301
International Finance Corporation
+12024733800
ccspg@ifc.org
www.ifc.org
2121 Pennsylvania Avenue, NW Washington DC 20433
Maldives
The CP Project will be implemented at four of UEPLs eight resorts, all of which are relatively close to the Maldives capital, Malé, and are only accessible by boat. The four resorts are: Huvafen Fushi: Hufaven Fushi is an island resort made up of 43 individually designed bungalows and pavilions and is situated in the North Malé Atoll. Kurumba: Built in 1972 and refurbished in 2004, Kurumba is the Maldives first island resort and is also located in the North Malé Atoll. Kurumba houses 180 rooms / suites / villas and is surrounded by live coral reefs growing on ancient volcanic mountains undersea. Velassaru: Velassaru is a 129-villa / suite resort located on a private coral island 45 minutes by speedboat from Malé airport in the South Malé Atoll. Kuramathi: Kuramathi is a 290-room resort located on one of the six islands in Rasdhoo Atoll.
Location description
A description that qualifies the activity taking place at the location.
3.2000000000 73.0000000000
AB - Resort Hotel (Including Lodges)
Total: $20.00 million
20000000.00
20000000.00
UNIVERSAL ENTERPRISES PRIVATE LIMITED
Summary of Project Information
Please refer to the Environmental & Social Categorization Rationale tab in the project disclosure document, as well as the Mitigation Measures/Environmental and Social Action Plan tab when applicable. https://disclosures.ifc.org/project-detail/SPI/28646/universal-cplp