Government Monday awarded the project to convert the Equatorial Convention Center (ECC) in the southernmost Atoll Addu into a 100 bed tertiary hospital to local construction firm Alia Investment Private Limited.
Housing minister Dr Mohamed Muizzu speaking to reporters after signing the agreement described the convention centre to host the 2011 SAARC Summit as a "waste of taxpayers money."
The MVR161.8 million project was funded by Saudi Fund for Development and the OPEC Fund for International Development (OFID).
Alia secured the project with the lowest bid which was opened for both local and international firms on September 18.
The design and build project awarded to Alia Construction will be due in 18 months. According to the housing ministry, the funds have been secured to purchase all the equipment required for the hospital.