Maldives announces halal tourism projects in 6 atolls with investor concessions

The Government of Maldives has announced plans to develop halal tourism in six islands across six atolls, with land rent waivers granted for the remaining grace period if resorts are developed and operational before the end of the allotted grace period.

According to a statement issued by the Ministry of Tourism, the initiative is part of the government’s efforts to promote tourism in underdeveloped regions. The islands designated for halal tourism development are located in Haa Alif Atoll, Haa Dhaal Atoll, Shaviyani Atoll, Thaa Atoll, and Laamu Atoll. A separate project has also been announced in Addu.

Halal tourism refers to services and facilities designed to meet the requirements of Muslim travellers. The concept will be implemented in both the development and operational stages of the resorts.

The Ministry stated that President Dr Mohamed Muizzu has authorised additional concessions to encourage investment in halal tourism. These include:

• A 20 per cent reduction in lease acquisition costs
• Option to pay lease acquisition costs in instalments, during the first quarter of the fifth and sixth years of development
• Deferral of land rent payments for the remaining grace period if the resort begins operations before the grace period expires
• Duty exemptions of up to 20 per cent on capital inputs required for resort development
• Inclusion of furniture, kitchen appliances, and electronic equipment under the duty exemption category

The Ministry of Tourism stated that these concessions aim to support the growth of the Maldives as a Muslim-friendly tourism destination and expand the national tourism industry.

The ministry further stated that the development of these resorts would contribute to job creation and stimulate local economic activity.

President Muizzu previously announced plans to allocate special islands with investment incentives to support the expansion of halal tourism. He also discussed halal tourism development during his official visit to Malaysia in April.