Regional Airports Company Ltd. (RACL) has officially inked an investment memorandum of understanding with Silver Land Hotels to develop a tourism zone at Faresmaathoda Airport, Gaafu Dhaalu Atoll. The agreement was signed on Monday by RACL’s Managing Director, Ahmed Mubeen, and Silver Land Hotels’ Head of Project Management, Ibrahim Mohamed.

The primary objective of this partnership is to develop a 100-bed city hotel on the land adjacent to the airport, according to RACL. The project is expected to create around 200 employment opportunities and open doors for businesses in the region, thus contributing to the region’s economic growth, said RACL. According to Silver Land Hotels, the project is estimated to cost US$20 million.

Ahmed Mubeen expressed optimism that the MoU will lead to an agreement and the project will be mobilized within three months upon the completion of the necessary governmental procedures. RACL aims to replicate this model in other islands where the company operates airports and provide economic opportunities for the people of these regions, added Mubeen.

The airport operator is collaborating with local councils and government agencies to expedite the land registration process for airports, including Kulhudhuffushi Airport, it said.

RACL currently operates seven airports across the country.