The Maldivian government has submitted a bill to Parliament proposing to prohibit the sale of alcohol and pork, as well as gambling, in areas designated for tourism within the Rasmalé development.
The Real Estate Business Bill, submitted to Parliament today, has been specifically drafted to regulate the Rasmalé project. Although the development will accommodate tourism-related businesses, their operations will be subject to Islamic principles and the legal framework of the Maldives.
Under the proposed legislation, Maldivian law will apply throughout areas leased to foreign parties for extended periods. Security within these areas will remain under the responsibility of Maldivian security services, while Maldivian government institutions will also maintain a presence in the zone.
The bill further stipulates that activities prohibited under Maldivian law and Islamic Sharia must not take place in these areas. Alcohol and pork sales will specifically be prohibited at tourism establishments within the designated zones.
Additionally, licences for tourism-related businesses will be issued in accordance with the Maldives’ existing tourism laws.
The bill comes after the Maldivian government signed a $20 billion agreement with UAE-based Eagle Hills, a company headquartered in Abu Dhabi, to develop a modern waterfront marina and real estate complex in Rasmalé.
The agreement was signed at an official ceremony in Abu Dhabi on September 21, with Housing Minister Dr Abdulla Muththalib representing the Maldivian government and Eagle Hills Chairman Mohamed Alabbar signing on behalf of the company.
Under the agreement, 500 hectares of land in Rasmalé will be leased to Eagle Hills for 99 years to develop a modern city and marina. Minister Muththalib previously described the project as one awarded following extensive visits, studies and consultations. President Dr Mohamed Muizzu has said the development would contribute to national economic growth and create employment opportunities.
However, the agreement has drawn criticism from the opposition Maldivian Democratic Party (MDP). Calling for the full details of the deal to be made public, Galolhu South MP Mikaeel Ahmed Naseem submitted an urgent motion to Parliament.
Naseem alleged that the agreement had been structured in a way that would allow Eagle Hills to avoid paying land acquisition costs or lease fees. He also raised concerns that the company would be granted the right to sublease land to third parties.
Former Economic Minister Fayyaz Ismail also criticised the lack of transparency surrounding the deal, saying its commercial terms had not been disclosed to Parliament, the media or the public.
Fayyaz questioned how the value of the 500 hectares had been determined and whether the government was guaranteed to receive an appropriate return for the land. A motion calling for the full disclosure of the agreement with Eagle Hills was subsequently voted down in Parliament.
The Rasmalé project was initiated under President Muizzu’s presidential pledge to find a long-term solution to the housing shortage in the Malé region. Developed through the reclamation of Fushi Dhiggaru Falhu, the project was officially launched by Muizzu on December 18, 2023. It is currently the largest land reclamation project undertaken in the Maldives.
Located near Malé, Rasmalé is envisioned as an environmentally friendly, low-carbon, or “zero-carbon”, and climate-resilient city. According to the master plan announced by President Muizzu on December 18, 2023, the development is expected to include 65,000 housing units of various types, alongside integrated services and modern infrastructure.
