A project to establish a city hotel on the southern end of Alifu Dhaalu Dhidhdhoo, has been awarded to local company Dreams Holding Private Limited.
President of Dhidhdhoo Council Ahmed Nizar said that the project would facilitate numerous benefits for the island, which has a population of 196 people; and that it would see the establishment of a water supply system, sewerage system, and waste management system in the island.
He said that it would also create job opportunities, as well as create a market for fish products, fruits, vegetables, and handicrafts produced in the island.
A land plot measuring 89,009 sq ft has been leased for 35 years for the construction of the city hotel.
Rent has been agreed at $25 per sq ft for the first 20 years, and $99 per sq ft after 20 years.
Nizar said that the construction of the city hotel must begin within three months, and be completed within 18 months.
Dhidhdhoo is located in a region where there are ten tourist resorts, as well as a whale shark point.