Gov't reduces acquisition cost of resorts amid Covid-19 pandemic due to investor demand
The eases being afforded to those looking to acquire islands from Maldives for resort development will cost the state MVR 82 million
Uninhabited islands of the Maldives are being leased for long-term tourism development at drastically reduced costs, "reflect investor concerns"
Due to investor demand, the Ministry of Tourism has decided to reduce the acquisition cost of 21 islands being leased for the development of 16 resorts, which amounts to a total reduction of MVR 86 million in prospective state revenue.
The government of Maldives has opened the bid to lease 23 islands for the second phase of resort development projects in the Maldives. In the announcement detailing the decision to reduce acquisition costs for islands being leased for tourism development, the Tourism Ministry stated that the decision reflects investment concerns at this time.
The reduction in acquisition cost is applicable for 21 islands leased for developing 16 resorts in the month of April 2021, with the minimum bid amount having been previously set at USD 17.4 million. However, the amended acquisition cost fees detail a minimum bid of USD 12.08 million for the leasing of islands, which represents a loss of MVR 82 million to the state in prospective revenue. The amended lease acquisition costs are 30 percent lower than the amount first proposed by the state. The final date to submit bids in order to develop these resorts is 6 June.
1. HA. Velifinolhu, acquisition cost reduced to USD 420,000 from USD 600,000
2. HA. Alidhuffarufinolhu, acquisition cost reduced to USD 350,000 from USD 500,000
3. HDh. Kudafarufasgandu. acquisition cost reduced to USD 210,000 from USD 300,000
4. M. Seedheehuraa, with Seedheehuraa sandbank, acquisition cost reduced to USD 875,000 from USD 1.25 million
5. M. Maafushi, acquisition cost reduced to USD 1،575،000 from USD 2.25 million
6. Th. Kaaddoo, acquisition cost reduced to USD 700,000 from USD 1 million
7. Th. Kanimeedhoo, acquisition cost reduced to USD 1,050,000 from USD 1.5 million
8. Th. Atholhufushi and Atholhufushi Finolhu, acquisition cost reduced to USD 700,000 from USD 1 million
9. L. Kashidhoo, acquisition cost reduced to USD 700,000 from USD 1 million
10. L. Bodumunyafushi, acquisition cost reduced to USD 700,000 from USD 1 million
11. L. Dhonbeheraa and Holhuhuraa, acquisition cost reduced to USD 525،000 from USD 750،000
12. GA. Maarehaa, acquisition cost reduced to USD 1 million from USD 1.4 million
13. GA. Funadhoovillingillaa, acquisition cost reduced to USD 700,000 from USD 1 million
14. GDh. Kandahaalaagalaa, acquisition cost reduced to USD 875,000 from USD 1.25 million
15. GDh. Kadavaarehaa and Dhigurehaa, acquisition cost reduced to USD 700,000 from USD 1 million
16. GDh. Fereythaviligillaa, Dhekaa'nbaa, Koderataa and one more island, acquisition cost reduced to USD 700,000 from USD 1 million
