Dhanduveri Nafaa Loan Converted to Shari’ah-Compliant Islamic Financing

The Ministry of Fisheries, Agriculture and Ocean Resources, in collaboration with SME Digital, has announced the transition of the Dhanduveri Nafaa Loan Scheme into a fully Shari’ah-compliant Islamic financing facility, marking a significant step towards expanding Islamic financial services for the agricultural sector.

The transition is part of ongoing efforts to provide farmers and agricultural businesses with financing solutions that align with Islamic principles while supporting SME Digital’s broader strategy of becoming a full-fledged Islamic financial institution.

The financing facility is designed to create greater investment opportunities for Maldivian farmers and strengthen the agriculture sector’s contribution to national economic growth. Under the scheme, individuals and businesses can access collateral-free financing of up to MVR 500,000, while larger projects requiring substantial investment can obtain secured financing of up to MVR 1,000,000.

The facility offers a 10-year repayment period, including a 12-month grace period, with a financing rate of 6 percent per annum, making it the lowest financing rate currently available to farmers in the Maldives.

The financing will support a wide range of modern agricultural activities, including:

• Urban and protected agriculture

• Terrace and vertical gardening

• Poultry and small livestock farming

• Agro-processing and value addition

• Agroforestry initiatives

• Establishment of plant nurseries

In line with the Ministry’s efforts to promote animal health and related industries, the scheme will also support veterinary services, pet farms, and pet supply businesses.

Speaking on the launch, SME Digital Chief Executive Officer Badhurudheen Hassan described the transition as a key milestone in expanding access to Islamic financing.

“The transition of Dhanduveri Nafaa to a Shari’ah-compliant Islamic financing facility marks an important milestone in our ongoing efforts to provide accessible financing solutions that align with Islamic principles. Through this financing, we aim to strengthen small agricultural businesses, support their sustainable growth, and encourage greater investment in the agricultural sector,” he said.

He added that improving access to financing would help farmers modernize their operations, increase productivity, and contribute to enhancing local agricultural output and long-term food security in the Maldives.

The Ministry noted that the facility is intended to provide accessible financial assistance to individuals and businesses engaged in agriculture, helping them expand their operations and build capacity. Officials highlighted that introducing inclusive financing mechanisms is an important step towards increasing agriculture’s contribution to the national economy and promoting sustainable development.

Applications for the Shari’ah-compliant Dhanduveri Nafaa financing facility will open on 22 July 2026 through the SME Portal.