In a major push to strengthen the domestic economy and empower local entrepreneurs, the Ministry of Economic Development, Transport and Trade has announced that the conduct of business in two key sectors will be restricted exclusively to Maldivians, effective from 8 October.
Under the newly implemented legislative amendments and Foreign Investment Entry Regulations, foreign entities currently operating in wholesale and retail trade within the Maldives, as well as foreign providers of Cargo Sales Agent (CSA), General Sales Agent (GSA), and Passenger Sales Agent (PSA) services, must officially cease their operations. The Ministry has instructed all affected foreign companies to take the necessary actions to comply with the new requirements within the designated timeframe.
Initially announced in October of last year, the policy to reserve airline GSA, PSA, and CSA operations exclusively for 100 percent Maldivian-owned companies is designed to unlock greater growth opportunities for local enterprises within the nation’s vital tourism and aviation sectors.
As part of the transition, the Ministry has also published the names of eight foreign companies that could not be reached regarding compliance procedures. These uncontacted entities have been strongly urged to immediately reach out to Invest Maldives to navigate the transitional phase conditions and ensure adherence to the new regulations before the fast-approaching deadline.
Government officials anticipate that reserving these specific business activities and designated job categories for Maldivians will significantly boost local enterprise, increase the retention of foreign currency within the domestic economy, and ultimately improve the country’s overall financial standing.