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Foreign Direct Investment Opportunity in Maldives

<img src="Maldives-fdi.jpg" alt="foreign direct investment opportunity in Maldives"/>

Foreign direct investment opportunity in Maldives

The law on foreign direct investment (FDI) guarantees the foreign investors in the matter of security of their investments according to the Law 25/79. A liberal trade environment, dynamic private sector and development-oriented legal structure are the main reason behind the attraction of the foreign investors in the Republic of Maldives. Political stability is another reason and this country has a strong record of political stability in the similar nature of our society with one culture, one religion and one language. Besides, this country is considered as heaven for income tax along with corporate tax. The young, energetic and trainable workforce is strong inducements to invest in Maldives and this is the big reason of increasing the number of foreign companies in every year. The vast untapped potential in natural marine resources is attractable for the foreign investors and their investment area is from management and accounting services, air transport and resort management to manufacturing. The government of Maldives provides some facilities to the foreign investors which mean the emphasis on promotion of investment activities. The range of foreign direct investment opportunity in Maldives is mainly affiliated with the tourism industry to develop of air and sea transport along with marine based industries.

Maldives Business – Investment opportunities

There is lot of opportunities for the foreign investors to explore the tremendous potential which is invited by The Foreign Investment Service Bureau of the Maldives. The government also eager on the (FDI) foreign direct investment opportunity in Maldives at the banking, accounting and management consultancy sectors where they need some expert foreign people. Foreign investors have a scope to invest for the development of residential islands and those who are interested can apply to FISB. Joint ventures with local partners and wholly owned foreign investments are the two types of arrangements for the foreign investors and they can choose one of them to start business in Maldives. The Government has already acknowledged the importance of foreign investment because for the development in the economic sector of Maldives, Foreign Direct Investment (FDI) has always played a crucial role. Many reputed international brands have already settled down their branch office in Maldives for capitalizing on numerous benefits.

Investing in Maldives

The government and certain authority of Maldives have an aim to attract foreign investment, particularly such investments which are capital intensive, enhance the transfer of technology, introduce new skills and at the same time will be friendly for environment. Both kind of small and big investors are highly encouraged to enter and operate their business in Maldives. It is normally seen that small investors would like to form joint ventures with Maldivian nationals or companies already registered in Maldives and such investors make investments more than $5 million (US) face no ownership restrictions and get the opportunity to conduct their business freely.

  • Investment Incentives
  • Right to 100% foreign ownership.
  • Legally backed investment guarantee.
  • Provision for overseas arbitration of disputes
  • Long term contractual agreements will be taken place along with long-term lease of land
  • Freedom to use foreign managerial, technical and unskilled workers
  • No foreign exchange restrictions.
  • No restrictions on the repatriations of earnings or profits.

FDI Regulations

  • Law on (FDI) Foreign direct Investment opportunity in Maldives, the Republic of Maldives according to Law: 25/79
  • Companies Act of the Republic of Maldives Law which is in accordance with 10/96
  • Regulations Governing Duty Free Businesses in Maldives
  • Regulations for Issuing Licenses to Fish in the Exclusive Economic Zone of the Republic of Maldives

Those foreign investors who have intention to invest in Maldives, the government of Malaysia provides them a free 30-day tourist visa to visit and carry out any work or research relating to making an investment in the Maldives. All foreign employees will be recruited for the operations of business and they should follow the normal process of obtaining a work permit when their investment will be approved by the government of Malaysia.

The perfect host

The tourism industry of Maldives is accounted for the 30% of GDP directly where it is counted more than 80% in the indirect way. 1.25 million Tourists were arrived in Maldives in last year which indicates roughly 5% growth from 2015.

FDI Figures in Maldives

Foreign Direct Investment (FDI) flows to the Maldives have been on an upward sloped over the last few years and the FDI inflow reached in USD 449 million according to the data of government authority which is 45% increase comparing with the previous year. Currently the total FDI stock is calculated as USD 3.2 billion. Maldives is traditionally recognized because it has had an open and liberal economic environment with no follicle violence. Most of the lands are owned by the government which gets leased to private owners or most of the time developers, so the rights in property are comparatively weak here. Foreign investments are screened by the government where limited access to financial services. As above picture, FDI, foreign direct investment opportunity in Maldives is shaking to foreign investors in desirable sector (s). More information of company registration in Maldives as foreign investors.

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S & F CONSULTING FIRM LIMITED is a global business consulting firm. Services are: (1) Foreign company registration, formation, setup (2) Income tax (3) Accounting (4) Audit (5) Business advisory. Since 2012, we are providing professional services to the foreign investors. We try to develop our self everyday to satisfy honorable customers.

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