Plans to develop a new passenger terminal at B. Dharavandhoo Airport are progressing under a contractor financing model, with Island Aviation Services Ltd. inviting private-sector participation for the project as part of ongoing efforts to strengthen domestic aviation infrastructure in the Maldives. The company has opened the Expression of Interest process for the proposed terminal development, calling on interested parties to register their intent ahead of the formal proposal stage. According to the announcement, the project will proceed in accordance with the specifications and requirements to be detailed in the Request for Proposal document.
The planned terminal development reflects continued focus on enhancing connectivity in strategically important island destinations, particularly in regions where aviation plays a vital role in supporting both community access and economic activity. Dharavandhoo Airport holds particular importance within Baa Atoll, serving as a key domestic air link between the atoll and the capital, Malé, while also supporting travel to nearby islands and tourism-related destinations. With Baa Atoll recognised internationally for its natural beauty, marine biodiversity and high-end hospitality offerings, improvements to airport infrastructure are expected to further support the visitor experience and strengthen the accessibility of one of the Maldives’ most distinctive regions.
Baa Atoll remains one of the country’s most prominent tourism areas, attracting travellers from around the world for its luxury resorts, world-class diving sites and proximity to the UNESCO Biosphere Reserve. Dharavandhoo, as an entry point to the atoll, plays an important role in facilitating smooth transfers for international visitors connecting from Velana International Airport to resorts and guesthouses across the region. A new passenger terminal would complement the wider tourism value chain by improving capacity, passenger handling efficiency and overall service standards, while also benefiting local residents who rely on domestic air services for travel, business and access to essential services.
The project also highlights the increasing relevance of alternative financing structures in infrastructure delivery, with the contractor financing model offering an approach that encourages private-sector engagement in nationally significant developments. By opening the Expression of Interest stage, Island Aviation is seeking to identify capable and interested partners ahead of the next phase of the procurement process. This approach is expected to support competitive participation and help ensure that the terminal development is aligned with operational, commercial and technical expectations.
According to the notice issued by Island Aviation, interested parties are required to submit their completed Expression of Interest form by email no later than 4 June 2026 at 23:59 Maldives time. The company has stated that only those who register within the specified deadline will be eligible to submit proposals for the project. The announcement signals steady progress in preparations for the terminal initiative and reflects broader confidence in the continued expansion of domestic transport infrastructure to support regional development, tourism growth and improved connectivity across the Maldives.
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