Economic Minister Mohamed Saeed has said that preparations for the Development Bank of Maldives (DBM) are progressing as planned and that the institution will become operational in the near future.
Responding to a question from South Galolhu MP Meekail Ahmed Nasym during Tuesday’s parliamentary sitting, Minister Saeed explained that DBM is not designed to function like a conventional bank offering account services or fund management. Instead, its main role will be to facilitate financing for development initiatives, serving as a key institution to support national development projects.
While the Minister indicated that work was moving forward at a fast pace, he did not specify a date for the operational launch of the bank.
The Development Bank of Maldives was one of President Dr Mohamed Muizzu’s electoral pledges. Using powers under the Companies Act, the President established the bank on 16 May 2024. The Economic Ministry later applied for a banking licence with the Maldives Monetary Authority (MMA) on 28 July 2024, which was approved on 13 October 2024. The DBM was officially inaugurated on 16 November 2024 but remains non-operational.
According to the Finance Ministry, MVR 6,566,338.20 has been spent on the bank from its inception to 25 March this year. The Ministry has not disclosed details regarding the nature of these expenses.
Public concern has grown over the delay in operationalising the bank, especially following a series of high-level resignations earlier this year. Noel Gregor Paterson-Jones, who was appointed as CEO and Managing Director on 26 August 2024, resigned on 20 March and subsequently filed a case with the Employment Tribunal seeking remuneration for his notice period. Shortly after, board director Ahmed Ali also resigned on 23 March.
