Regulations pertaining to selling government-owned shares of tourism joint venture (JV) companies have been publicized yesterday.
These regulations have been publicized according to the recent amendments made to tourism laws by the government. As a result of the amendments, the power to sell its tourism JV shares was afforded to the state.
According to the new regulations, government shares of tourism JV companies must be sold by the Finance Ministry under advice from the President. Additionally, when outlining the selling price of the shares of government tourism JV companies, the price must be set after taking into account a rate of USD 5 per sqm based on the land given to the companies for tourism development.
Points that must be outlined within the selling agreement are:
- Amount of shares to be sold
- Details of how the price of sold shares will be paid
- Payment period for the sold shares
Although the government is able to set the period for which the price of sold shares must be paid in full, the longest period that can be set according to the regulation is 18 months.
For more information about the regulation: https://www.gazette.gov.mv/gazette/download/6038
