The MIF is initially set to launch multiple sub-funds for infrastructure with a combined AUM of USD 100-250. The funds will be making direct equity investments and structured debt injections into infrastructure projects in sectors such as transport, road networks, urban infrastructure, water and sewerage, waste management, power (generation, transmission, and distribution), fuel storage and supply, and natural resources. The fund will support private sector infrastructure projects to establish new infrastructure and to develop existing facilities, typically for projects with locked-in long-term revenues or regulatory frameworks.
MFMC is in the process of registering the Maldives Infrastructure Fund with the relevant regulatory measures. Following all formalities, the fund will evaluate and identify investment opportunities in the Maldives tourism sector as per the Investment Policy Statement of the fund. In addition to investment for the fund in the form of equity and/or debt, the fund requires involvement from infrastructure service providers, leading EPC contractors, expert engineers, and proprietary technology holders. The Fund Management Company, fully owned by the Government of Maldives, will be taking on the risk as the General Partner, taking on direct financing for projects, providing structured debt facilities for financial institutions willing to lend for micro, small and medium enterprises engaged in infrastructure projects. The fund will consider Ethical, Social, Governance (ESG) factors in addition to sectoral allocations within the investment decision making process. Moreover, the fund will engage the use of a project management team that will ensure the availability of a Technical Assistance Facility.
As fund manager, MFMC will be evaluating investment opportunities in the Maldives tourism sector, and may announce a call for expressions of interest for the private sector.