Malé, Maldives — The Maldives is positioning itself as a more attractive and investor-friendly destination with the introduction of a new Foreign Direct Investment (FDI) Act, ratified by President Mohamed Muizzu. The law, designed to boost international investor confidence and stimulate economic growth, marks a significant shift from the country’s previous investment framework that had remained largely unchanged since 1979.
According to Maldives’ Minister of Economic Development and Trade, Mohamed Saeed, the new FDI Act prioritizes transparency, regulatory clarity, and investor protection—a move welcomed by stakeholders both locally and internationally. The legislation is set to take effect three months from its ratification on September 3, and will apply to all foreign individuals and companies seeking long-term business operations in the country.
“The primary objective of the new law is to promote FDI in the Maldives by creating a more transparent and secure environment for foreign investments,” stated the Economic Ministry.
A New Era for Global Investors
The new law introduces structured guidelines that define which sectors are open to foreign investment, how permissions are granted, and the protections investors can expect—replacing a decades-old legal foundation that no longer aligns with modern global economic trends.
Observers see this legislative upgrade as a key driver for increased foreign interest in the Maldives, particularly in infrastructure, tourism, and real estate—sectors where the island nation holds substantial growth potential.
Fang Qiuchen, Chairman of the China International Contractors Association, voiced his confidence at the 9th Belt and Road Summit in Hong Kong, noting that more Chinese companies are ready to explore investment opportunities in the Maldives.
For sale nowFrom MVR 3.6M1+1 Bedroom Apartments at Bayfancy · Hulhumalé“The passage of the new law will enhance the confidence of investors from all over the world to invest and do business in the Maldives,” Fang said.
Strengthening Bilateral Ties with China
The announcement follows closely on the sixth anniversary of the China-Maldives Friendship Bridge, inaugurated in August 2018. The bridge, which physically links Malé with Hulhulé Island (home to Velana International Airport), has become a symbol of close bilateral relations.
President Muizzu praised the bridge as an “impressive engineering achievement” and a representation of “mutual trust and enduring partnership” between the two nations.
China’s ambassador to the Maldives, Wang Lixin, emphasized how infrastructure projects like the bridge, developed under the Belt and Road Initiative (BRI), have contributed significantly to the Maldives’ socio-economic development.
“The project has vividly shown how the Belt and Road Initiative and friendly cooperation with China benefit the local people,” she stated on social media.
In addition, the two countries have collaborated on expanding the Velana International Airport, a critical hub for the Maldives’ tourism-based economy. Since signing the agreement in 2014, the airport has expanded its apron by approximately 250,000 square meters, significantly increasing its capacity.
Outlook: Maldives as a Rising Investment Hub
With sweeping reforms in place and a strong foundation of international partnerships—particularly with countries like China—the Maldives is signaling a clear intention to evolve into a premier investment destination in South Asia.
As global interest grows and new infrastructure projects take shape, the Maldives is not only preserving its natural beauty and cultural richness but also crafting a modern economic identity fueled by strategic investments and global cooperation.
