The Maldives Airports Company Limited (MACL) has signed a significant agreement with the Chinese company Beijing Urban Construction Group (BUCG) to develop a monorail system connecting the capital city of Malé, Hulhulé, and Funadhoo.

The agreement was formalized by MACL's Managing Director and CEO Ibrahim Shareef Mohamed and BUCG General Manager Luo Wei on Monday.

This ambitious project is backed by funding from the UAE's International Free Zone Authority (IFZA), with a prior agreement signed earlier this year in May.

President Dr. Mohamed Muizzu has expressed his vision for creating a Special Economic and Financial Service Zone in Funadhoo, which will be integrated with the monorail system.

Economic Minister Mohammed Saeed announced these plans on May 24.

The monorail project is part of the broader development of Velana International Airport (VIA).