Loan applications now open via ‘Hiyaavehi’ portal

Housing Ministry, on Friday, said applications can be submitted via ‘Hiyaavehi’ portal starting today for soft loan scheme for housing with interest rates not exceeding five percent.

Introducing a soft loan scheme for housing with interest rates not exceeding five percent is an electoral pledge of President Dr. Mohamed Muizzu.

The loan scheme was inaugurated last Tuesday under the name ‘Hiyaavehi’.

Housing Ministry said applications can be submitted for the loan via ‘Hiyaavehi’ portal starting Friday. The portal can be accessed via e-Faas.

The scheme is being run in partnership with three banks. They are:

• Housing Development Finance Corporation (HDFC)
• Bank of Maldives (BML)
• Maldives Islamic Bank (MIB)

Loans will be issued in three categories under this scheme. They are:

• Atolls: Loans of up to MVR 1 million will be issued to build homes in islands under this category. The loans will be issued through HDFC and does not require equity.
• Urban Centers: Loans of up to MVR 3 million will be issued to build homes in islands considered urban centers under this category. The loans will be issued through BML and MIB.
• Greater Male’ Area: Loans of up to MVR 6 million will be issued to build homes in the Greater Male’ Area. The loans will be issued through BML and MIB.

According to the government, the purpose of the finance scheme is to support people who are unable to start building homes or complete building homes due to financial constraints.

It also seeks to support the construction of homes by combining small plots of land in the congested Male’ City.

In this regard, individuals who apply for loans to construct homes by combining two or more plots can secure an additional MVR 1 million in financing for each additional plot.

MVR 1 billion has been included in the proposed budget for next year to issue loans under the scheme.