A record amount of revenue was generated for the state by extending the lease of tourism lands last year.
Statistics published by Maldives Inland Revenue Authority (MIRA) show MVR 306 million was collected by the authority through extending land lease periods. This is a 300% increase compared to the same period the previous year. This is the first time such a high amount has been generated via the lease period extension since 2016.
The hike in revenue is due to eases facilitated by the government for resorts in which construction has been delayed.
Last year, the Ministry of Tourism formulated new regulations on Construction Period (CP), and brought changes to the fees that were being charged for lease period extension. With this change, all funds received under Corporate Social Responsibility (CRS) regulations will be collected by MIRA.
According to statistics, MVR 569 million was received as lease period extension fees in 2016, with the ease provided by the administration of former president Abdulla Yameen Abdul Gayyoom to encourage the establishment of more tourist resorts in the Maldives. With these changes, over 50 new resorts were opened during President Yameen's five-year tenure.