BML Lowers Home Construction Equity Requirement to 5% for Projects up to MVR 3 Million

Bank of Maldives has lowered the minimum equity requirement for its Home Construction Financing to 5% for projects valued at up to MVR 3 million, reducing upfront costs for borrowers and expanding access to housing finance.

The revision marks a significant decrease from the previous 20% equity requirement, easing one of the primary financial barriers faced by households seeking to build homes.

Under the new structure, a construction project valued at MVR 2 million would require an equity contribution of MVR 100,000, compared to MVR 400,000 previously, according to the bank.

Mohamed Shareef, Chief Executive Officer and Managing Director of Bank of Maldives, said the move is aimed at addressing persistent housing challenges.

“As the national bank, BML is committed to playing a leading role in addressing housing challenges faced by Maldivian families. By reducing the equity requirement to 5%, we are directly removing one of the biggest barriers to home construction and enabling more Maldivians to take the first step towards building their own homes,” he said.

The revised equity requirement applies to financing up to MVR 3 million. For projects exceeding this amount, the bank will continue to require a minimum equity contribution of 20%.

Bank of Maldives also stated that it continues to offer home purchase financing at rates starting from 9%. In 2025, the bank introduced a similar 5% equity requirement for customers purchasing homes, aligning its financing offerings to improve affordability across both construction and home ownership.

The adjustment reflects a broader effort to expand access to financing solutions nationwide, with a focus on reducing entry barriers and supporting residential development in line with evolving customer needs.