The government has revised the framework governing the development of 1,000 affordable housing units in Hulhumalé Phase III, introducing a series of concessions for contractors. The updated policies have been published in the Government Gazette.
Under the revised rules, the previous requirement for contractors to submit proof of funds to cover the full project cost has been replaced with a letter of comfort from a financial institution indicating the total project value.
Additional concessions include exemptions on import duties for construction materials related to the project. Changes have also been introduced to buyer insurance requirements, while new provisions allow greater flexibility for joint venture arrangements. The housing project will be divided into five packages of 200 units each. Under the new framework, a single company may be awarded up to 400 units. The policy is intended to encourage wider participation from local companies.
Eligibility criteria require contractors to be fully Maldivian-owned entities, with all projects to be executed on a design-and-build basis. The government said the initiative is aimed at strengthening local private sector involvement, while supporting business growth and capacity development.
The housing units will consist of two-bedroom and three-bedroom flats. Three-bedroom units will be priced at a maximum of USD 149,000, while two-bedroom units will be capped at USD 116,700.
Following the revisions, the deadline for submission of proposals has been extended from 23 March to 31 March.