Connect with us

Hi, what are you looking for?

News

New Tourism Law Brings USD 120 Million in Resort-Related Revenue

The government generated USD 120 million in revenue over the past year through resort lease extensions, land sales and transfer fees, according to newly released figures from the Ministry of Finance and Public Enterprises.

The figures highlight the financial impact of amendments made to the Tourism Act last year, which introduced a temporary concession scheme allowing resort developers to extend their lease agreements under revised payment terms.

Advertisement


According to the ministry, 18 resort operators opted to extend their lease agreements during the reporting period. In addition, 15 companies paid a combined USD 12.7 million in fees related to resort land sales and ownership transfers.

The revised Tourism Act, which came into effect in 2025, introduced a limited-time incentive programme aimed at encouraging resort operators to renew long-term leases while generating additional state revenue.

Under the current provisions, eligible resort operators can obtain a 49-year lease extension by making a lump-sum payment of USD 5 million within six months of the amendments taking effect. Operators applying after that period are required to pay USD 10 million for the same extension.

The legislation also introduced separate payment structures for 20-year and 25-year lease extensions, offering developers multiple options depending on their investment plans.

Tourism remains the Maldives’ largest economic sector and the country’s primary source of foreign currency earnings. Resort lease extension fees, land transactions and tourism-related taxes continue to represent a significant source of government revenue alongside Green Tax, Tourism Goods and Services Tax (TGST) and airport-related income.

The latest tourism statistics show that the Maldives is home to 179 operational resorts, offering a combined capacity of 44,977 beds across the country.

The government has previously stated that the lease extension programme is intended to provide greater certainty for investors while supporting long-term development in the tourism industry and strengthening state finances.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Related articles

News

First Lady Sajidha Mohamed has called for a more connected healthcare system in the Maldives, stressing that women should not face delays in breast...

News

The Maldives Maritime Conference 2026 has concluded after bringing together around 200 maritime professionals, policymakers and international experts for discussions on the future of...

News

More than 100,000 German tourists have visited the Maldives so far this year, keeping Germany firmly among the country’s largest and most important tourism...

News

The State could earn more revenue from the planned Eagle Hills development in Ras Malé than it currently receives from the Maldives’ entire tourism...