Maldives plans $8.8 billion blockchain hub to diversify economy

The Maldives government has struck an agreement with Dubai-based MBS Global Investments to establish a financial hub for blockchain and digital assets in the capital, Malé.

The $8.8 billion project is part of a broader effort to diversify the island nation’s economy and reduce dependence on tourism and fisheries.

The Maldives International Financial Centre, as outlined in the masterplan, is expected to cover 830,000 square meters. It aims to host up to 6,500 residents and create approximately 16,000 jobs. Officials say the project could generate more than $1 billion in annual revenue by its fifth year and potentially triple the country’s GDP within four years. Construction is expected to take place in phases over a five-year period.

The investment is notable not just for its size—surpassing the country’s annual GDP of roughly $7 billion—but also for its timing. The Maldives faces a mounting debt burden, with $600–700 million due this year and around $1 billion more due in 2026, according to Moody’s. Finance Minister Moosa Zameer described the country’s debt obligations as “the biggest challenge that we have,” adding that the agreement with MBS Global Investments is viewed as “a potential contributor to bring us out of certain difficulties.”

The project is being financed through a combination of equity and debt. MBS CEO Nadeem Hussain said the firm had already secured financial commitments “north of” $4–$5 billion. The company plans to form a consortium of family offices and high net worth individuals to support the investment. MBS, which claims to manage about $14 billion in assets, is the family office of Qatari investor Sheikh Nayef bin Eid Al Thani.

“It is a large sum of money,” said Hussain, noting that the firm made alliances early on to ensure financial backing. “We appreciated right from the offset what was involved in terms of funding and we’ve made the necessary alliances and brought in the necessary partners to ensure we have that.”

Finance Minister Zameer emphasised that the agreement represents a shift from the Maldives’ traditional development model. “With MBS we are getting into business,” he said. “It’s going to be a business which is totally different from the traditional models of borrowings that we do.”

The government sees the new venture as a way to establish a “financial freezone” for blockchain and digital assets. Still, the project enters a competitive global environment. Well-established hubs, such as Dubai, Singapore, and Hong Kong, already attract blockchain firms through supportive regulation and infrastructure.

Dubai, for example, has incorporated blockchain into several public services. In April 2025, its Land Department and Virtual Assets Regulatory Authority (VARA) signed an agreement to link the land registry to blockchain, enabling real estate tokenisation. Hong Kong has similarly positioned itself to attract Web3 companies by offering regulatory clarity and access to both Western and Chinese markets. Meanwhile, Singapore continues to host dozens of digital asset exchanges as well as hundreds of Web3 companies.

Despite the Maldives’ intentions, regional observers remain cautious. A senior Indian businessperson told the Financial Times that it “won’t be easy” for Malé to become a regional financial hub, especially with established competitors like Dubai and Mauritius already in the space.

Supporters of the plan point to the country’s political stability, air connectivity, and proximity to major markets such as India and the Gulf region as factors working in its favour.

The project also follows a $760 million bailout package extended by India earlier this year to help the Maldives avoid a potential sovereign default—highlighting the urgency with which the country is seeking new economic models.

As work on the Maldives International Financial Centre begins, much will depend on the government’s ability to execute the project and navigate regulatory, financial, and geopolitical factors shaping the future of digital finance in the region.

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