Amendment proposed for extension of resort leases

The government of Maldives has proposed an amendment to the Tourism Act which would change the duration within which payments need to be made to extend the leases if islands and lands issued for resort development.

According to the existing law, the lease of an island or land issued for resort development can only be extended up to 50 years, unless the party agrees to pay USD 100,000 for every year extended, within two years time. If the party decides to extend the payment period beyond two years, they would need to pay USD 200,000 for every year extended.