An amendment to the Special Economic Zones (SEZ) Act has been proposed to define the rules for the development of sustainable townships or economically and socially sustainable islands in areas designated as SEZs.
The amendment was moved by Baarashu MP Ibrahim Sujau from the ruling People's National Congress (PNC).
The amendment describes the conditions for developing a sustainable township and the incentives available to the developer.
According to the amendment, a sustainable township would be allowed:
- If the investment in the zone exceeds USD 500,000,000
- If a large scale real estate development or an integrated tourism development including a variety of luxury tourism services and luxury residential facilities is established in the zone
- If an international standard hospitality training center or international health service center is established in the zone
- If the infrastructure and facilities for energy generation and waste management in the zone is self-sufficient and at least 60 percent of the energy used to operate the zone is renewable
- To reduce the amount of food imported into the country and to establish food production facilities and modern agricultural facilities
- If the zone provides public facilities and services that allow people to live on site, including housing, educational institutions, health care facilities and recreational facilities
President Mohamed Muizzu issued a decree on January 12 to allow townships in SEZ.
During the debate in parliament today, Hulhumale' South MP Ahmed Shamheed said the amendment was proposed for the benefit of certain parties and allow foreigners to own land in the Maldives.
“This bill is a huge fraud to benefit some people. I want to reveal today that in fact this township is a resort being built in Noonu atoll. Eleven islands have already been reclaimed. People within the government wants to designate this place an SEZ so they can evade taxes," the opposition Maldivian Democratic Party (MDP) MP said.
"This is what this law says, you don't have to pay any taxes, sell the villa and give us one percent, this law says, the draft says that," he added.
