The opposition coalition of Progressive Party of the Maldives (PPM) and People’s National Congress (PNC) has condemned the amendment brought to the government’s Foreign Direct Investment (FDI) policy, calling it a grave threat to the independence and sovereignty of the nation.
As per the amendment announced to the FDI policy of the government on June 13, foreign companies are now allowed to have up to 100% shares in air transport services, including the operation of airports and terminal facilities. The amendment states foreign companies can operate airports for a period of 50 years, once permitted by the government.
Speaking at a press conference held at the office of PPM, Parliamentarian Hussain Mohamed Latheef said the amendment to the FDI policy is a major threat to the sovereignty of the nation. Highlighting the bad experience of handing over operations of Velana International Airport (VIA) to a foreign company in the past, Latheef called the amendment unacceptable and urged the government to take it back.
The opposition coalition also expressed concern over allowing foreign companies to operate air traffic in the Maldives through the amendment to the FDI policy. However, Minister of Economic Development Fayyaz Ismail has stated the amendment does not allow foreign companies to take over air traffic control. He stated air traffic operations will remain under the control of the state.
Ministry of Economic Development has announced a press conference will be held on June 14 to clarify the concerns regarding the amendment to the FDI policy.