Dharumavantha Hospital, Maldives’ tallest standing building, is set to be mortgaged for a bond of USD 300 million.
In a now publicized letter to the President’s Office, Minister of Finance Ibrahim Ameer stated that efforts to mortgage a bond of USD 300 million are underway, with the Islamic Corporation for the Development of Private Sector (ICDC).
The bond is to be sold following Islamic Shariah regulations, after making a 100% government-owned Special Purpose Vessel (SPV) and transferring more than 51% of beneficial ownership of the bond to the SPV.
The Minister noted that after evaluating current government assets, the most suitable asset for this purpose is the Dharumavantha Hospital. He also requested the transfer of ownership of Dharumavantha Hospital to the Ministry of Finance, as such bonds can only be issued from Finance Ministry assets.
Minister Ameer has previously said that share sales are expected to bring in MVR 462.6 million in revenue for the 2021 budget. A USD $300 million bond is also included in next year’s budget.
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