7 years of SME Digital: Financial assistance provided to over 4,000 small businesses

SME Digital, formerly known as SDFC, is celebrating its seventh anniversary Wednesday.

Established in 2019 to support the development of small and medium enterprises (SMEs) in the Maldives, the institution has provided financial assistance to more than 4,000 small businesses across the Maldives over the last seven years.

As one of the key providers of SME financing in the Maldives, SME Digital has also extended financial support to businesses in 189 islands, covering every atoll in the country.

Since its establishment, SME Digital has continuously expanded access to financing for SMEs. Initially offering financing of up to MVR 5 million in 2019, the institution now provides financing of up to MVR 10 million, enabling businesses to access the financial support they require at different stages of their growth.

SME Digital’s financial solutions are designed to support a diverse range of sectors and entrepreneurs, including:

• Start-ups and women entrepreneurs
• Sector-specific development initiatives for existing and new businesses
• Expansion of the tourism and guesthouse sector
• Government collaboration schemes aimed at empowering SMEs

Through accessible financing opportunities, SME Digital has helped transform innovative ideas into sustainable, income-generating businesses. These initiatives have benefited youth, freelancers, and home-based entrepreneurs across the Maldives. To further support women in business, the institution has also introduced dedicated financing schemes aimed at strengthening financial independence among women entrepreneurs.

Recognizing the diverse needs of businesses across industries, SME Digital provides financing solutions tailored to multiple sectors. Priority has also been given to simplified financing for sea vessels and cargo boats, supporting businesses operating within the fisheries and tourism industries.

In response to the growing digital economy, SME Digital also offers financing for content creators, photographers, and digital professionals to acquire the essential equipment and technology required for their work.

With tourism continuing to be a key pillar of the Maldivian economy, SME Digital has also introduced financing of up to MVR 10 million to support the development of new guesthouses and the expansion of existing guesthouse businesses.

The institution has further implemented several financing initiatives in collaboration with government ministries to empower small businesses, support women-led enterprises, and promote the development of the fisheries and agricultural sectors.

SME Digital is currently undertaking a significant transformation to become a fully Shari’ah-compliant financial institution. As part of this transition, all services have been aligned with Shari’ah-compliant principles over the past five months, with new Islamic financing products introduced to serve customers.

In addition, practical work commenced in October last year to convert previously issued conventional loans into Islamic financing structures.

CEO of SME Digital, Badhurudheen Hassan, noted that the institution has worked closely with SMEs across the country over the last seven years, and is proud to have supported more than 4,000 businesses by providing financial solutions that enable them to start, grow, and expand their ventures.

“Through our support, new businesses have emerged across many sectors. We have enabled youth to pursue entrepreneurship, supported women in achieving financial independence, and helped businesses overcome challenges as they scale and grow,” he said.

“Looking ahead, with the dedication of our team, we remain committed to enhancing our services and strengthening our position as the Maldives’ leading digital institution providing Islamic finance solutions for SMEs."

As the national economy continues to expand, SME Digital plays an important role in ensuring that economic opportunities are accessible across Maldives. Today, entrepreneurs across the Maldives can easily explore financing products and submit applications through SME Digital’s digital platforms from anywhere in the Maldives.