The government is making significant changes under the Special Economic Zone (SEZ) Act. The latest decision involves exempting duties on newly initiated economic activities until the investment is firmly established.
The President, empowered by Article 8 of the Export-Import Act, decided to eliminate duties on newly initiated economic activities. This move signifies a crucial step toward fostering investments in the country.
The government has set the minimum investment threshold in SEZs at USD 100 million. The SEZ investments encompass a wide array of sectors, including export-oriented manufacturing, international logistics, speciality hospitals, ports, airports, research and development facilities, ICT parks, renewable energy, and more. The government is keen on introducing technology not currently available in Maldives, with a focus on food security and gas exploration.
President Dr. Muizzu issued a resolution under Act No. 2014, stipulating that the minimum investment in SEZs must be reviewed and disclosed annually before February. The last evaluation, conducted on January 31, 2018, during President Abdullah Yameen’s administration, set the minimum investment value at USD 150 million.
Looking ahead, the government is gearing up for major investments, including the Rasmale project, the transhipment port, and the third project to develop the VIA.