The Maldives, known for its pristine beaches and luxury resorts, is now aiming to reinvent its economic model. On May 4, the government signed a joint venture agreement with MBS Global Investments, a Dubai-based family office, to build a $9 billion crypto and blockchain hub in the capital, Malé, according to Financial Times.

The deal, spearheaded by Sheikh Nayef bin Eid Al Thani’s MBS Global, reflects a long-term commitment to position the Maldives as a regional Web3 and digital finance powerhouse.

Per reports, the goal is to reduce dependence on tourism and fisheries, attract foreign investment, and build a financial freezone for global blockchain and digital asset firms.

Why the Shift?

The Maldives currently has a GDP of about $7 billion, making this planned $9 billion investment larger than its entire economy. But the motive behind the deal is not just growth — it's survival.

In a video interview with the Financial Times, Finance Minister Moosa Zameer acknowledged that external debt is placing massive pressure on the country. With hundreds of millions due in 2025 and 2026, including a $500 million sukuk, the clock is ticking.

Zameer said this partnership with MBS offers more than funding. “It’s a new model of business,” he explained — one that diverges from conventional debt-driven development and leans into equity-backed, technology-forward innovation.

Inside the Project: What’s Being Built?

The flagship project will be the Maldives International Financial Centre, an 830,000 square meter hub built in Malé. The plan is ambitious:

• The hub will accommodate 6,500 residents
• It aims to create 16,000 jobs
• The government expects revenues to exceed $1 billion by year five

According to the project masterplan, the hub will cater to global blockchain startups, fintech innovators, digital asset managers, and institutional players. It’s being framed as an international “financial freezone,” much like those in Dubai and Hong Kong, where regulatory clarity and tax incentives fuel innovation.

The government expects the financial centre to triple the Maldives’ GDP within four years — a bold target.

MBS Global: The Money Behind the Vision

MBS Global Investments, which claims to manage $14 billion in assets, will lead the five-year phased development through a network of family offices and high-net-worth individuals. The firm already has secured firm commitments of over $4 to $5 billion, according to CEO Nadeem Hussain.

Hussain said that the company understood the scale of the challenge from the start. 

“We appreciated right from the offset what was involved in terms of funding and we’ve made the necessary alliances and brought in the necessary partners to ensure we have that,” said Hussain. “It is a large sum of money.”

The backers see potential in the Maldives, not just as a tourist destination, but as a gateway for blockchain infrastructure in the Indian Ocean region.

Global Context: Can the Maldives Compete?

While the scale of the deal has caught global attention, it enters a competitive landscape.

Dubai, for instance, is already a leading crypto hub. It has taken major steps in legalizing virtual assets and integrating blockchain into public services. Most recently, Dubai’s Land Department signed an agreement with its Virtual Assets Regulatory Authority to tokenize real estate records on-chain.

Hong Kong has also emerged as a regulatory leader, attracting hundreds of Web3 startups through licensing clarity and government support.

To succeed, the Maldives will have to deliver more than blueprints and promises. It must build infrastructure, pass supportive legislation, and attract real companies to set up operations.

A senior Indian businessperson told Financial Times that it “won’t be easy” for Malé to rival regional hubs like Dubai or Mauritius, especially given its small population and developing legal framework.

Still, the Maldives has some key advantages:

• Geopolitical stability makes it attractive for investors
• Its strategic location, close to India and the Gulf, provides regional access
• The government is signaling strong political will to transform its economy

Finance Minister Zameer stressed that this project is not about abandoning traditional allies like India or China. Instead, it’s a pivot to new, sustainable partnerships based on equity and innovation.

“With MBS, we are getting into business,” Zameer said. “It’s totally different from the traditional borrowing that we do.”

A High-Risk, High-Reward Move

This deal is not without risks. Relying on an untested model in a nascent industry carries long-term uncertainties. Blockchain projects are volatile, and regulatory backlash in other countries could slow momentum.

The latest Libra coin scandal and the OM token crash are some of the recent examples.

However, for a country grappling with debt and narrow economic bandwidth, standing still is no longer an option. The Maldives has chosen to act — and act boldly.

Whether this will mark the beginning of a crypto-powered economic renaissance, or a cautionary tale of overreach, remains to be seen.