Rasmale' deal: Two ministers provide conflicting figures on projected government revenue

Oct 1, 2026, 10:57 AM
Zareer and Muththalib.

Zareer and Muththalib.

Housing Minister Abdulla Muththalib and Finance Minister Hassan Zareer have provided conflicting figures regarding the projected government revenue from the Rasmalé project, which was awarded to the UAE-based Eagle Hills company.

Muththalib signed the agreement on September 21, granting 500 hectares of land in Rasmalé to the developer for 99 years, with ownership of the buildings granted indefinitely.

In a recent interview with Mihaaru, Muththalib said that the government expects to receive $3 billion (approximately MVR 46 billion) over 10 years from the project.

"Based on our assessments, we expect the government to receive over $3 billion—roughly more than 46 billion Rufiyaa—by the time the 10-year development phase is completed," Muththalib said during the interview.

However, Finance Minister Zareer offered a much higher estimate yesterday. In a post on the social media platform X, he claimed the government would receive $11 billion (MVR 169 billion) over 10 years from the project.

"The Maldives Waterfront and Marina project at Rasmalé is estimated to generate approximately $11 billion during its 10-year development. This equates to roughly $1.1 billion annually," Zameer stated in his post.

Discrepancies have also emerged regarding the total investment value pledged by Eagle Hills. While a government statement issued on the day of the signing claimed Eagle Hills would invest $20 billion in Rasmalé, the company itself later stated its investment would total $12 billion.

The government handed over the land for Rasmalé without charging any land acquisition fees or rent. Instead, government revenue will be derived from a 10% fee on the developer's initial property sales and a 4% fee paid by the buyer. Additionally, a 4% fee will be levied on every transfer of property ownership.

While the government maintains that Rasmalé has been leased for 99 years, the framework of the agreement suggests a permanent transfer of control. Under the terms, every time a property is resold or gifted, a new 99-year lease term commences for the new owner, effectively creating a perpetual lease cycle.

The reclamation of Rasmalé was launched with the promise that it would be dedicated exclusively to housing for Maldivians. President Mohamed Muizzu had personally pledged that the land would never be leased to foreign parties.

"Every grain of sand reclaimed there [Rasmalé] belongs to the Maldivian people. Not a single inch of land will be leased or given for free to any foreign party for even a single day," the President had previously stated.

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