SME Digital has opened applications for micro-financing under the Maldives Islamic Social Financing Initiative (MISFI), marking the first financing scheme introduced by the Bank of Maldives (BML) under the national initiative.
The scheme offers Shariah-compliant micro-financing of up to USD 6,490 at an annual rate of 2.5 percent, the lowest currently available in the market. Borrowers will be given a repayment period of up to 10 years, along with a grace period of up to 12 months to help ensure business stability. SME Digital confirmed that no application or processing fees will be charged.
According to the company, the financing programme is designed to support individuals who face difficulties accessing traditional bank loans, as well as new and aspiring entrepreneurs. The initiative aims to remove financial barriers, promote inclusion, and strengthen trust between the public and the financial sector.
Speaking on the launch, SME Digital Chief Executive Officer Badruddin Hassan said Islamic social financing plays a key role in building a more inclusive financial system. He said the scheme provides opportunities for individuals who do not qualify for conventional loans to prove their capabilities and grow their businesses sustainably.
He added that the programme is expected to boost the number of start-ups while encouraging home-based and self-employed businesses to formalise their operations and expand further.
Applications for the financing scheme can now be submitted through the SME Portal on SME Digital’s official website.
MISFI is a dedicated fund established by the Maldives Monetary Authority, Bank of Maldives, and Maldives Islamic Bank (MIB). Under the initiative, BML has pledged approximately USD 12.97 million, while MIB has committed around USD 1.95 million over the next three years. The Maldives Monetary Authority has also committed approximately USD 1.30 million, bringing the total pledged funding to about USD 16.22 million.
The Ministry of Social and Family Development has supported the initiative by identifying priority social sectors for funding this year.
Inspired by international models such as Bank Islam Malaysia’s Sadaqa House, MISFI utilises Islamic social finance tools including Sadaqah, Waqf, and Islamic crowdfunding to support socially impactful and development-oriented projects.
With the introduction of MISFI, the Maldives is moving towards greater financial inclusion, social equity, and sustainable development through transparent, Shariah-compliant financial mechanisms aligned with the National Financial Inclusion Strategy.
