The Maldives Industrial Development Free Zone PLC (MIDFZ), the lead developer of the Maldives Economic Gateway (MEG) Project, has signed a framework agreement with Singapore-based fund management company Capital Asia Investments (CAI).

This development forms part of the Maldives Economic Gateway and Free Zone initiative, led by MIDFZ—a joint venture of the State Trading Organization (STO), Maldives Ports Limited (MPL), and various government entities.

The agreement was signed by STO’s Managing Director, Shimad Ibrahim, representing MIDFZ, and Tan Kun Chiao George , Chief Commercial Officer of Capital Asia Investments, during a ceremony held on Saturday.

According to economic ministry, framework agreement establishes a collaborative approach for defining the project’s scope and phased development, specifically for transforming the Ihavandhippolhu region into a major commerce and logistics hub.

As part of this agreement, MIDFZ and CAI will work together to assess project costs, conduct financial evaluations, and establish key commercial terms.

Maldives Economic Minister Mohamed Saeed expressed enthusiasm for the project on social media platform X, recognizing it as a step forward in President Dr. Mohamed Muizzu's economic diversification strategy.

Capital Asia Investments will also fund feasibility studies and other assessments, helping to advance the project toward a further agreement within six months, potentially bringing in USD 100 million in investment, according to STO MD Shimad Ibrahim.

CAI, which manages assets worth USD 1.3 billion across sectors like infrastructure, fintech, IT, renewable energy, and hospitality, brings significant experience in equity transactions and strategic investments.

This collaboration with Capital Asia Investments underscores the Maldives’ commitment to strengthening trade infrastructure as part of the broader Maldives Economic Gateway project.