The Government of Maldives has officially signed an investment agreement with Canada-based Abraxas Power Corporation for the development of the Solar City project the country’s first initiative under the Special Economic Zone (SEZ) framework.

The agreement was signed at the Maldives-Singapore Business Forum held in conjunction with President Dr Mohamed Muizzu’s ongoing state visit to Singapore.

Minister of Tourism and Environment Thoriq Ibrahim and Abraxas Managing Director James Colter Eadie signed the agreement on behalf of their respective parties.

The Solar City project is expected to generate 100 megawatts of solar energy, significantly reducing the nation's reliance on fossil fuels.

According to government estimates, the project will save approximately USD 42 million in fuel costs annually and is scheduled for completion by 2027.

This project is a key component of President Muizzu’s pledge to generate 33 percent of the country’s electricity through renewable sources by 2028, a major step toward energy sustainability and climate resilience for the island nation.

In addition to the Solar City agreement, the Maldivian government also signed an investment services agreement with Henley and Partners, a global firm specializing in residence and citizenship investment programs.