Govt amends rules to allow land allocation to state-owned companies

The government has amended regulations governing the allocation of land for non-residential purposes to allow land to be allocated to majority state-owned companies with the approval of the President.

The revised Regulation on Allocation of Land for Non-Residential Purposes was published on Wednesday, repealing the previous regulation that had been in force since 2024.

The main change is the introduction of a provision allowing majority state-owned companies to receive land under government policy.

The new clause states that, notwithstanding other provisions of the regulation, land may be allocated to a majority state-owned company on the recommendation of the authority responsible for land administration and with the approval of the President.

Majority state-owned companies have consequently been added to the list of entities eligible to receive land under the regulation.

The process for determining the value and lease rates of allocated land remains unchanged. These rates will continue to be determined by a nine-member Land Valuation Committee.

The committee will be chaired by a member appointed by the President.

The revised regulation also changes the composition of the committee. Representation from the Maldives Land and Survey Authority has been removed, while the ministry responsible for land use will now have two representatives.

Under the new regulation, the Land Valuation Committee will comprise one representative from the ministry responsible for finance, two from the ministry responsible for land use, and one representative each from the ministries responsible for the economy, fisheries, tourism, construction and agriculture.

The Local Government Authority (LGA) will also have one representative on the committee.