Regional Airports Company Limited (RACL) and the Fuvahmulah City Council have signed a Memorandum of Understanding (MoU) to develop and secure funding for a tourism zone adjacent to the Fuamulah Airport, the regional airports operator said in a statement on Tuesday.

RACL and the council, through mutual consultations, have already agreed on initial concept drawings which will introduce 108 tourist beds to the city via the proposed development which, according to the company, is set to improve the Fuvahmulah’s economy as well as the lives and livelihoods of the city’s residents.

“There is no doubt that such a development will increase the global marketability of Fuvahmulah City, as well as the city’s already operational guesthouses,” RACL said in the statement.

RACL, through the development, seeks to ensure increased flights to the city while encouraging ancillary economic growth and increasing job prospects in Fuamulah, the company said.

RACL Managing Director Ahmed Mubeen, since taking over the state-owned enterprise (SOE) set up to manage and operate regional airports across the country, has sought to expand the number of commercially viable projects undertaken by the company in a bid to, within the next three years, end company dependence on the state’s budget.

RACL currently operates seven airports across the Maldives.