Majlis approves amendment shortening payment period for resort lease extensions
The amendment was passed with the votes of 76 members
OBLU SELECT Sangeli Resort
The People’s Majlis has approved an amendment to the Tourism Act, to shorten the payment period of extension to the lease of islands and plots of land issued for tourism, from two years to six months.
The amendment was passed during a sitting held on Monday.
The bill to amend the Tourism Act of Maldives was proposed by pro-government MP for Dhangethi constituency Abdulla Rasheed.
The bill was passed with amendments to the report from Whole House parliamentary committee.
The amendment was passed with the votes of 76 members present at Monday’s Majlis sitting. No lawmakers voted against it.
Some lawmakers representing the main opposition Maldivian Democratic Party (MDP) asserted that the amendment was proposed by the government after running out of ways to raise more funds.
They have claimed that the payment period has been shortened from two years to six months, to acquire money from investors. Currently, the law clarifies that payment for lease extensions of up to 50 years must be settled within a two-year period.
There has also been criticism from several members over the completion of the bill to amend the Maldives Tourism Act.
The amendment was submitted on Tuesday, August 13 and sent to the entire parliamentary committee on Wednesday, August 14.
The very next day, the bill was passed at the committee.
The bill proposed amendments to Article 9 of the Maldives Tourism Act.
With the implementation of the bill, If USD five million is settled within six months, the lease period will be extended. After that, the amendment says USD 10 million must be settled.
