Munawar: USD 20 million in aid would be given to change MIFCO’s Model

The government has said that a number of foreign aid is prepared to provide financial assistance to chance the Business Model of the Maldives Industrial Fisheries Company (MIFCO).

Speaking at the press conference by the Economic Council yesterday to announce that MIFCO is go under the State Trading Organization (STO), Finance Minister Ahmed Munawar said that the business model being used by MIFCO so far needs to be changed. He said that bringing the company under STO is the first step of that process.

Minister Munawar said that the Islamic Development Bank’s Islamic Trade Finance Corporation (ITFC) is also prepared to provide financial assistance to MIFCO. The Minister said that it has not happened so far because MIFCO is yet to change the business model.

“They (ITFC) are also ready to give over 10 - 20 million (US) dollars in trade financing, but the current MIFCO condition cannot be given any such facilities without a restart.” Minister Munawar said.

The Finance Minister said that the problem of MIFCO has so far been a major concern for the Finance Industry. MIFCO has numerous debts at the banks and it is a major concern of the Ministry.

Finance Minister Munawar said that the decision to bring MIFCO under STO was a good decision for the Finance Industry and the Fisheries Industry.