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Maldives resorts get year-long lease rent deferral
Lease rent payable by resorts in Maldives for the rest of the year will be deferred for a year, the island nation’s finance ministry announced Sunday.
Detailing a plan earlier announced by President Ibrahim Mohamed Solih to grant lease rent deferrals, the ministry said lease rent payable by resorts for the third and fourth quarter of the year will be deferred until June 2021.
Those that have leased land from the government for other ventures such as agriculture will also get a similar deferral.
The deferred payments must be paid in instalments within a year.
Payments can be distributed equally and paid on a quarterly basis starting June 21, 2021. This means that instalments will be due on June 21, September 21, December 21, and March 21.
Lessees can also opt to distribute the payments equally and pay every month.
What is the lease rent?
Maldives allows tourism leases up to 99 years, with rent calculated based on the land area of the island leased.
Lease rent, also called Tourism Land Rent, has to be paid in advance for each quarter. By that requirement, tourist resorts can now get the rent payable for the third and fourth quarter of the year deferred.
Failure to pay lease rent attracts a penalty of 0.5 per cent of the amount that is due. The penalty is levied for each day of delay, and continues to be applied until such time the lease rent amount and accrued penalties are all paid.
In recent months, the issue of lease rent has become a major contentious issue between the government and leading figures in the tourism industry, which has been hard hit by the coronavirus pandemic.
The government earlier offered to defer lease rent for the third and fourth quarter, but it was tied to a key condition that all local employees be retained for three months.
This sparked a rare criticism by the Maldives Association of Tourism Industry (MATI). The influential industry representative body said the offer came too late.
The Maldives is preparing to reopen its borders on July 15.
With the borders reopening on July 15, resorts and hotels on uninhabited islands as well as liveaboard vessels can begin hosting tourists right away.
Guesthouses and hotels located on inhabited islands will be allowed to reopen on August 1. Passengers on cruise ships and yachts will be barred from disembarking at inhabited islands until then.
Thirty-day free on-arrival visa will be issued to all tourists with a confirmed booking for a stay at any registered tourist facility in the country. The entire holiday has to be booked at a single facility except for transit arrangements.
There will be no mandatory quarantine or testing on arrival. Tourists will only have to complete a health declaration form.
But visitors with symptoms of the Covid-19 respiratory disease caused by the novel coronavirus or those travelling with someone who has similar symptoms will be tested at their expense.
The coronavirus outbreak has also hit the Maldivian economy hard, as travel restrictions and other preventive measures affect the country’s lucrative tourism industry, which contributes the bulk of the island nation’s state revenue and foreign reserves.
Before the pandemic, the government had been bullish about tourism prospects, targeting two million, high-spending holidaymakers this year after last year’s record 1.7 million.
However, only 382,760 tourists visited the Maldives before the country closed its borders on March 27. It was a 40.8 per cent decline over the 646,092 that visited the Maldives from January to March last year.
With arrival numbers falling, several resorts across the Maldives suspended operations.
Tourism has been the bedrock of the Maldives’ economic success. The $5 billion-dollar economy grew by 6.7 per cent in 2018 with tourism generating 60 per cent of foreign income.
However, the government is at present projecting a possible 13 per cent economic contraction this year — an estimated $778 million hit.
On March 8, Maldives reported its first cases of the novel coronavirus, as two hotel employees tested positive for Covid-19 at a luxury resort in the archipelago.
Eighteen more cases — all foreigners working or staying resorts and liveaboard vessels except five Maldivians who had returned from abroad — were later identified.
A six-case cluster of locals, detected in capital Male on April 15, confirmed community transmission of the coronavirus. Several more clusters have since been identified, bringing the total number of confirmed case in the Maldives to 2,323.
Eight deaths have been reported and 1,911 have made full recoveries.
The Maldives announced a state of public health emergency on March 12, the first such declaration under a recent public health protection law.
The public health emergency declaration allowed the government to introduce a series of unprecedented restrictive and social distancing measures, including stay-at-home orders in capital Male and its suburbs, a ban on inter-island transport and public gatherings across the country, and a nationwide closing of government offices, schools, colleges and universities.
Non-essential services and public places in the capital such as gyms, cinemas and parks were also shut.
Restaurants and cafes in the capital were asked to stop dine-in service and switch to takeaway and delivery.
A nationwide shutdown of all guesthouses, city hotels and spa facilities located on inhabited islands was also ordered.
These measures allowed authorities to contain the outbreak.
More than half of the people who contracted the virus have recovered and daily recoveries have over taken the number of new infections detected per day.
The restrictions are now being eased in phases, with the second phase lasting at least until June end.
Villa Resorts has launched a new Villa Air seaplane service to Villa Park Maldives, offering an arrival experience that begins in the air with views across the Maldivian archipelago.
Operated by the sister brand Villa Air, the seaplanes serving Villa Park are fitted with some of the widest panoramic windows used in the Maldives. This allows passengers to observe reefs, sandbanks, and islands almost continuously from take-off to landing. Travellers see the colours of the ocean shift from deep blue to lighter turquoise and can trace the shape of atolls and lagoons well before reaching the resort.
The size of the windows ensures that most seats offer wide views, enabling couples, families, and groups to experience the scenery together without needing to change places. Capturing photographs and short videos becomes straightforward, and for many visitors this forms their first impression of the Maldives while still above the islands.
A notable feature of the Villa Air service is the experience of taking off from and landing on water. The gradual ascent from the lagoon near Malé and the final descent beside Villa Park bring a sense of calm and mild adventure, particularly for those new to seaplane travel. The sound of the floats touching the water and the sight of the resort appearing ahead create a natural transition to the island.
With unobstructed views, a relaxed pace, and the experience of stepping off an aircraft that has just landed on the ocean, the new Villa Air seaplane connection ensures that a stay at Villa Park effectively begins from the moment passengers depart Malé and follow the chain of islands south.
Meyyafushi Maldives, a new five-star premium all-inclusive boutique resort, has introduced what it describes as a world-first in resort recreation: a fixed overwater padel tennis court. Positioned above clear lagoons and framed by sweeping sunset views, the court offers guests an opportunity to play and unwind in a distinctive setting surrounded by panoramic ocean vistas.
Located in the Lhaviyani Atoll, the overwater court allows players to take part in a match while immersed in the natural calm of the surrounding seascape. Guests staying at the resort are offered one hour of complimentary padel tennis as part of the premium all-inclusive package. The setting provides a secluded and tranquil space for both beginners and experienced players to practise with the sound of the ocean beneath.
“Padel tennis has become one of the fastest-growing sports in the world, and we wanted to bring it to life in the most spectacular way possible,” said Ahmed Siaar, Cluster General Manager of BeKind Hotels & Resorts. “Playing on water, surrounded by endless blues, transforms the game into something transcendent – it’s active luxury at its finest.”
The overwater court forms part of Meyyafushi’s wider range of facilities, which include an underwater dining restaurant, an overwater wine cellar, water pool suites with slides, a mini bowling lane, and an adults-only sky bar featuring a glass-bottom infinity pool. Each facility has been created to offer experiences that encourage connection, exploration and wellbeing.
With uninterrupted sunset views and a distinctive overwater location, Meyyafushi Maldives’ padel tennis court marks a global first for the sport, bringing together physical activity, landscape and design in a single setting.
Featured
Sheraton Maldives Full Moon Resort & Spa unveils ‘White Shores & Golden Lights’ festive season
This festive season, Sheraton Maldives Full Moon Resort & Spa invites guests to rediscover the joy of togetherness in what it calls the world’s gathering place. From 1 December 2025 to 7 January 2026, the resort will transform into a luminous sanctuary under its signature theme, White Shores & Golden Lights – a palette of shimmering whites and sunlit gold inspired by the purity of the season and the golden glow of new beginnings.
The festive spirit officially begins on 1 December with a Tree Lighting Ceremony, setting the tone for a season of warmth, celebration, and community. Following a period of serene island relaxation, the programme resumes in full from 21 December onwards, offering a vibrant calendar of curated experiences that continues until the Orthodox Beach Buffet Dinner on 7 January.
Guests are welcomed into an atmosphere where refined island living meets festive cheer. The line-up includes festive aqua aerobics, barefoot beach games, Gingerbread House Decorating, and the energetic Colour Run & Paint Me Wall Marathon along the shoreline. Younger guests can enjoy themed pyjama parties, while those seeking adventure may explore a variety of water sports and wellbeing rituals.
The highlight of the season is the Christmas Eve Gala Dinner, presented along the oceanfront where waves meet the shore and golden lights illuminate the evening. With live music, seasonal cuisine, and candlelit elegance, the event combines the island’s natural beauty with cherished festive traditions.
On Christmas Day, Santa makes a memorable arrival at Kakuni Beach, delighting guests of all ages. Throughout the festive period, in collaboration with Reefscapers, the resort offers coral frame-building workshops, giving guests the opportunity to support reef restoration efforts and contribute to the preservation of the Maldives’ marine environment.
As the year comes to a close, guests are invited to welcome 2026 beneath the stars. Night Under the Stars, the resort’s New Year’s Eve celebration, features a coastal gala with champagne, gourmet dining, fireworks, and live entertainment that continues well past midnight.
From peaceful mornings at Shine Spa to evenings sampling global flavours accented with Maldivian character, Sheraton Maldives Full Moon Resort & Spa offers an elevated festive experience. Whether travelling as a family, as a couple, or alone, guests will find each day filled with moments to remember and each evening touched with a sense of magic.
“We are thrilled to welcome guests to experience the magic of the festive season with us,” says Greg Allan, General Manager of Sheraton Maldives Full Moon Resort & Spa. “Each moment of our festive programme has been thoughtfully designed to reflect Sheraton’s ethos of heartfelt hospitality – bringing people together through meaningful experiences in one of the world’s most extraordinary destinations.”
Sheraton Maldives Full Moon Resort & Spa is also presenting a Festive Special Offer for this season. Guests may enjoy exclusive savings on beach or overwater accommodation, along with daily breakfast, lunch, and dinner, return speedboat transfers, and access to selected festive events and activities. Bookings made before 30 November 2025 will be eligible for stays between 20 December 2025 and 10 January 2026.
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