The Maldives Tourism Development Corporation (MTDC) has announced that preparations are in progress to commence the development of Naagoashi Island in Haa Dhaalu Atoll as a resort in the last quarter of this year. The island, despite being earmarked for tourism, has remained undeveloped for the past 17 years.
Speaking at MTDC’s Annual General Meeting, held last night at the Manhattan Business Hotel, Managing Director Ahmed Niyaz acknowledged the multiple obstacles and challenges that the project has faced. However, he assured that preparations are being finalised to initiate construction later this year. “Our aim is to commence work at Naagoashi in the fourth quarter of this year,” Niyaz stated, emphasising MTDC’s commitment to the successful completion of the project.
The journey to develop Naagoashi as a resort has been fraught with difficulties. Initially contracted to Russian company Threek International Pvt Ltd in 2007, the project was hampered by delays, leading to the termination of the sublease in 2016 due to the failure to complete construction and to pay rent. At the time of termination, 37 percent of the work had been completed, with villas, restaurants, and other structures nearly ready.
Following the termination, the government reclaimed Naagoashi from MTDC in 2017. However, in 2020, the island was once again leased to MTDC, which subsequently entered into an agreement with Dubai’s Galadari Holdings for the resort’s development. This agreement was also terminated last year after no progress was made, causing a decrease in MTDC’s revenue.
Despite these setbacks, MTDC remains determined to bring the Naagoashi project to fruition. The island, envisioned to house a 600-bed resort, is poised to be a significant addition to the Maldives’ tourism sector once completed. As MTDC moves forward with its plans, the successful development of Naagoashi will mark a crucial milestone in overcoming the challenges that have long stalled its progress.
