Government to introduce housing finance loan scheme

The government has decided to introduce a housing loan scheme for people living in the atolls.

Speaking at a press conference this afternoon, Minister of Housing Dr Mohamed Muizzu said that the housing finance loan scheme will be introduced under Islamic finance model via Housing Development Finance Corporation (HDFC), and provided to low income families.

“This loan will be given to low income families. There’s no need for such a loan scheme for high income families,” he said.

He said that under this scheme, loans will be given to individuals who own land plots but cannot finance building on those land plots, which is the main housing problem faced in most islands.

“This loan has a repayment period of 20 years. The maximum loan amount has not yet been decided, but these details will be announced soon,” he said.

Dr Muizzu said that a similar scheme was introduced in 2007 as well, which was discontinued by the new government in 2008.