Alifushi and Etthingili (Powell Islands in the Admiralty Chart) stand on a detached reef, between this isolated reef shelf and the northern end of the main Northern Maalhosmadulu Atoll (Raa Atoll).

Alifushi is 207.43 km (129 mi; 112 nmi) north of the country's capital, Malé City.

Alifushi is an ancient inhabited island that is famous for its carpentry and boat building. the Island has a boat building yard and two dredged harbors.