Maldives government to lower rents for lands leased for tourism related industry to boost investment

The Maldives' government will lower rents for lands leased for tourism-related activities in order to boost investment, local media citing Minister of Economic Development Fayyaz Ismail said here Tuesday.

Ismail, who also heads the Ministry of Tourism, announced that rent would be capped at a maximum of 800,000, 1 million and 1.5 million U.S. dollars for Addu atoll and Fuvahmulah, Haa Dhaalu and Haa Alif atoll, and Shaviyani, Gaafu Alifu, Gaafu Dhaalu, and Laamu atoll respectively.

"This will definitely boost investment in these atolls," Ismail said on social media.

According to local media, the new average rental rate is two U.S. dollars per square meter.

Local media reports say that rents from tourism make up a large portion of state revenue, with 103.6 million U.S. dollars generated in 2019.

Maldives' tourism industry has been heavily affected by the COVID-19 pandemic, as the country recorded zero arrivals for the first time in recent history when borders were closed from March 20 to July 15.