Govt hikes pre-lease pay in cross subsidy tourism pacts
If the total amount due for a island, lagoon or land exceeds $10 million (MVR 153 million), 50% of that amount shall be paid before signing the lease agreement
The amount to be paid before signing the lease agreement when leasing islands, land or lagoons for tourism purposes as cross-subsidies to fund government-run projects has been increased.
The tourism ministry has amended the rules and published them in the government gazette on Wednesday.
Previously:
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When the rules were first made, the lease agreement could be signed only after the total amount of the project was paid to the government within 60 days
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The first amendment to the rules changed the requirement for the applicant to pay $1 million (MVR 15.3 million) of the total project amount
Latest revision:
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If the total amount due for a island, lagoon or land exceeds $10 million (MVR 153 million), 50% of that amount shall be paid before signing the lease agreement
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The remaining amount should be paid in instalments by the end of this year
