Borrowings near MVR 16.64bn as MACL takes massive loans against Hulhule’ properties

Maldives Airports Company Limited (MACL), the state company in charge of managing the Velana International Airport (VIA), has taken massive loans against the mortgage of leasehold rights of properties in Hulhule’, pushing its total borrowings near a staggering MVR 16.64 billion.

The 2025 audit report on MACL, released by the Auditor General’s Office, highlights a massive shift in the company’s financial circumstances, due to the massive loans taken to develop the infrastructure at VIA, as well as the transfer of mega public land reclamation projects to its mandate.

The audit report shows that the company has taken massive loans from international financial institutions to fund mega infrastructure developments including the new international passenger terminal, the new seaplane terminal, and the new runway and fuel farm. These loans were secured against the mortgage of leasehold rights of properties at the airport.

The loans secured against sovereign guarantees alone amount to over MVR 7 billion.

Meanwhile, MACL’s subsidiary Marine and Integrated Infrastructure Development (MIID), the company established in 2025 to undertake major dredging, reclamation, and infrastructure development works, had MVR 1.76 billion in assets under construction by the end of last year, and faces billions in liabilities.

The audit report shows the value of MACL’s property, plants and equipment and capital work-in-progress and capital advances rose from MVR 20.37 billion to MVR 23.6 billion last year – making for over half of the company’s total capital.