President Dr Mohamed Waheed by decree has established Maldives Green Fund Company, as a government company with hundred per cent government shares.
The key objective of this company would be to raise the funding necessary to conduct long-term projects for environment protection, clean water supply, sewerage, renewable energy, and waste management; increase foreign assistance in the areas, and manage the funding through a good mechanism.
The Maldives Green Fund would be under the direct supervision of the government, and would be an institution capable of managing, according to international standards, the funding acquired for climate change, environment, and renewable energy.
This is the first establishment of its kind in the Maldives, which would manage the foreign financial assistance acquired in these areas, under the supervision of the government. Due to the lack of such an institution, the government has been unable to carry out financial transactions with the private sector in the past. The Maldives Green Fund would make it easier for local and foreign investors to conduct their financial business.
The Ministry of Environment and Energy has worked for more than a year now, to launch the Maldives Green Fund. This institution was established with consultation from foreign professionals, and after thorough research on how such funds function in other countries. The Fund is being established with the full cooperation and assistance of the World Bank and Asian Development Bank.
The Maldives Green Fund has thus far secured more than 130 million dollars to conduct projects in these areas, and will continue to receive additional funding from foreign parties. The World Bank and the Asian Development Bank has now decided to contribute an adequate amount of financial support for the smooth administration of the institution.
A similar fund has been established and is successfully being run in only one other island nation. Other developing countries are also working to establish such funds.