This financing scheme, designed in accordance with Islamic Shariah principles, aims to sustainably advance the fisheries industry by providing easy and accessible financing for Refrigerated Seawater (RSW) Systems, Solar Panels, and Generator Sets.
PSM News
Ministry of Fisheries and Ocean Resources, the Lives and Livelihoods Fund (LLF), and the Islamic Development Bank (IsDB), in collaboration with SME Digital, have opened applications for the third phase of this scheme targeting 200 fishing vessels.
This financing scheme, designed in accordance with Islamic Shariah principles, aims to sustainably advance the fisheries industry by providing easy and accessible financing for Refrigerated Seawater (RSW) Systems, Solar Panels, and Generator Sets.
Structured as project financing, including Installment Sale Financing from the Islamic Development Bank (IsDB) and grants from the Lives and Livelihoods Fund (LLF). A total fund allocation of USD 9.69 million, including USD 3.392 million in grant support from LLF, provides applicants with a grant covering 35% of the cost of the RSW System upon installation, making it an attractive option for existing fishing vessels seeking to modernize their operations.
Financing Information
• Financing up to MVR 2,000,000
• Grace period of up to 6 months
• Facility repayment period of up to 10 years
• Profit calculated at an annual rate of 6%
• No collateral requirement
• No equity requirement
Applications for the third phase of this scheme are now open through 'SME Portal' via www.smedigital.mv.
Through this initiative aimed at the sustainable development of the fisheries industry, we are proud to see the installation of RSW Systems across fishing vessels nationwide. It is encouraging to witness many vessel owners adopting this system, which marks a significant step forward for our fisheries sector. This scheme offers an effective solution to one of the industry’s long-standing challenges, the difficulty and expense of sourcing ice. By reducing these costs, fishermen can now operate more efficiently and preserve their catch with greater ease. With the opening of the third phase of the Murabaha RSW Financing Scheme, we are happy to extend this opportunity to even more fishermen and vessel owners, encouraging them to enhance productivity and sustainability within the industry.
This project, supported by LLF and IsDB, underscores a commitment to decreasing the carbon footprint linked to fishing activities by encouraging the adoption of renewable energy solutions. Through this initiative, the government seeks to strengthen resilience within the fisheries sector, ensuring long-term sustainability and economic viability for those involved in fishing operations throughout the Maldives.
