Minister of Economic Development and Trade Mohamed Saeed has expressed confidence that the Maldives will emerge as a prominent bunkering destination with the establishment of the Ihavandhippolhu Bunkering Facility.
Speaking at the signing ceremony of the term sheet for the International Bunkering Project, Minister Saeed highlighted the significance of this initiative for the country's economic development. The term sheet, signed between the State Trading Organisation (STO) and multinational energy and commodity trading company Vitol, outlines the agreement for the international bunkering project, with both parties committed to completing the necessary documents by a specified date.
Minister Saeed emphasised that the bunkering industry can also be a significant revenue generator in the Maldives and will play a crucial role in expanding the economy. With the agreement signed with Vitol, a leading energy trading company globally, Maldives is poised to become a sought-after bunkering service provider.
Pointing out the strategic geographical location of the Maldives, Minister Saeed noted that the country is situated near two major shipping channels where bunkering services are in high demand. He referenced research by reputable organisations like the Boston Consulting Group, highlighting the Maldives' advantage of having calm seas and shallow waters, facilitating easy bunkering for ships of various sizes.
Minister Saeed underscored that the Maldives possesses all the natural resources required to offer bunkering services, yet such facilities are currently lacking. The government's decision to establish the "Maldives Economic Gateway" project in Ihavandhippolhu, under the auspices of the Maldives Industrial Development Free Zone, signifies a significant step towards harnessing the country's economic potential. This project, spearheaded by five government-owned companies, aims to create a conducive environment for economic growth and innovation.