Ministry of Finance has compiled a policy announcing that city councils must make a new agreement for collecting land rent.
This announcement is publicized in relevance to the Decentralisation of the Administration Divisions of the Maldives Act 7/2010; an Act that aims to empower administrative state bodies to collect and keep profits within the division.
Finance Minister Ibrahim Ameer publicized a circular on January 18, 2021, stating that rent collected from the councils’ plots must be kept with the council.
The announcement also emphasizes that councils must change the ownership of the land to the council, on which unmovable material goods are situated. According to the circular, councils must then make a new agreement with the leaseholders and collect rent accordingly. This process must be carried on in collaboration with the Local Government Authority.