President Dr. Mohamed Muizzu has ratified the 13th Amendment to the Maldives Tourism Act, introducing crucial changes to the lease extension fees for land allocated for tourism. The amendment, passed by Parliament on August 19, modifies the fee payment deadlines for lease period extensions on islands or land leased by the Ministry of Tourism.
Under the new amendment, the payment period for each year of lease extension has been shortened to six months. Leaseholders who opt to pay within the first six months following the amendment’s implementation will incur a fee of USD 100,000 per year. However, those who choose to pay after this six-month period will face a doubled fee of USD 200,000 annually.
Additionally, the amendment revises the process for leaseholders of tourist resorts and integrated tourist resorts, initially leased for 50 years, to extend their leases for an additional 49 years. To benefit from this revision, leaseholders must pay a lump sum of USD 5,000,000 within the first six months of the amendment's implementation. Delaying payment beyond this window will result in the fee doubling to USD 10,000,000.
The amendment also adjusts provisions related to lease extensions for islands leased under Section 5(j) and the development of private islands leased under Section 16-16(e) of the Tourism Act. These leaseholders can extend their leases by an additional 49 years by paying the required USD 5,000,000 for the extension, alongside any outstanding rent, fines, or taxes.
Following its ratification, the amended Act has been published in the Government Gazette and is now in effect.