PSIP projects to be granted to Maldivian companies only

Regulations allowing only Maldivian companies to be granted the Public Sector Investment Programme (PSIP) projects will be gazetted next month, announced Minister of Finance and Treasury, Ibrahim Ameer in response to a question asked by a member during Saturday night’s Budget Committee meeting.

The minister further added that since a lot of the projects run in the country are funded by foreign donors, there are specific conditions to the projects. However, in order to allow Maldivian companies to have more chances in getting projects, the government has decided to grant some of the PSIP projects only to Maldivian companies.

While the details on the regulations would be finalized by the economic council and gazetted sometime during next month, the minister suggested that although foreign companies would be allowed to bid for certain projects, it would be possible for the foreign and local companies to run the projects together as joint ventures.

“For example, the regulations can declare that all projects below the value of 75 Million Rufiyaa shall only be awarded to local companies and that projects between 75 Million and a specific amount can be operated as a JV (joint venture).” The minister clarified.

Minister Ameer had highlighted that such regulations would be implemented, during September as well.