President says Thilafushi port relocation is key to expanding economy

President Dr Mohamed Muizzu on Thursday described the relocation of the Male' commercial port to Thilafushi as the most important project being undertaken by the government to increase national productivity and expand the economy.

The President, accompanied by Housing Minister Dr Abdullah Muthalib, Economic Minister Mohamed Saeed, Maldives Ports Limited (MPL) officials, relevant agencies and representatives from China Harbour Engineering Company (CHEC), inspected the project site. Speaking to reporters during the visit, he said relocating the port is one of the government’s highest priorities, noting that the existing Male' port lacks the space required to support the Maldives’ economic growth. He added that the new commercial port will be four times larger than the current facility, opening “a big door” for the country’s economic future.

The new port is a USD 250 million project, with the first phase awarded to CHEC in February this year. It will be developed on 20 hectares of land and have the capacity to handle 300,000 TEUs annually, more than double the 135,000 TEUs processed last year. The government aims to commence operations at Thilafushi by November 11 next year.

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— The President's Office (@presidencymv) October 1, 2026

The relocation is intended as a permanent solution to the space constraints and congestion at the Male' Commercial Harbour, which was built in the 1980s on just five hectares of land. Cargo clearance can take more than two weeks due to congestion, leading to demurrage losses and higher prices for goods. As a temporary measure, the government recently increased the demurrage-free period from 80 hours to 124 hours by shifting clearance services to a 24-hour schedule.

Earlier this year, around 4,200 containers bound for the Maldives were stranded at the Colombo port due to congestion. With the opening of the new Thilafushi port, the government has announced that the current seven-day clearance period will be reduced to 48 hours.