Honeymoon and gorgeous holidays could soon be overtaken by ciphers as a major draw in the Maldives island nation.
The Dubai-based family office plans to invest up to $8.8 billion in the Maldives blockchain-centric financial hub. This is part of an effort by the island nation to expand beyond its dependence on tourism and fishing and to deal with rising debt.
The investment, led by MBS Global Investments, has been rolled out for five years and is centered around a new joint venture with the Maldives government.
Planned capital expenditures exceed the country’s GDP of approximately $7 billion. It is funded through equities and debt, and its preliminary commitment is already over $4 billion.
Finance Minister Moosa Zameer described the initiative as a step towards economic diversification in an interview with FT. Zameer said the Maldives face “the biggest challenge” in paying off mature external debt over the next two years, and the project “helps alleviating some of the financial pressures we are facing.”
Under the proposed MasterPlan, Maldives International Financial Center will cover 830,000 square meters, accommodate 6,500 residents and create up to 16,000 jobs. It is being marketed as a global financial free zone centered around blockchain and digital asset services.
MBS Global Investments manages $14 billion in assets and is the family office of Qatar Royal Shake Knife Vin Aid Altani. The hub is one of the island nation’s first major forays into the crypto and blockchain ecosystem.