Foreign traders operating in sectors reserved for Maldivians must transfer ownership to local partners to remain compliant, the Economic Ministry has confirmed.
From 8 October, two additional sectors became exclusively reserved under the Foreign Investment Act and related entry requirements. These cover wholesale and retail trade by foreign entities, and cargo sales agents, general sales agents and passenger sales agents.
The ministry said that when ownership of businesses in these areas is transferred to Maldivians, the arrangement will ensure that the beneficial owner and the party controlling the business are Maldivian. Existing foreign operators are expected to restructure to meet the rule.
The change forms part of broader updates to foreign investment regulations that designate certain economic activities for Maldivian participation only. Enforcement details and any transition timelines beyond the effective date have not been fully published.
Businesses that fail to adjust their ownership structures risk non-compliance with the entry requirements. The ministry has indicated that lists of affected activities are being reviewed.
