MSMEs Exempted from Expat Worker Quota Fees for Upto 20 Slots

Micro, Small and Medium Enterprises (MSMEs) in the Maldives will no longer be required to pay foreign worker quota fees for up to 20 quotas under newly amended regulations, the Ministry of Homeland Security and Technology announced.

The amendment to rules governing the employment of foreigners was gazetted on April 1, after the bill was passed during the last parliament sitting. The changes took effect through the Expat System starting today, granting eligible businesses immediate access to the fee exemption.

Under the previous system, employers were required to pay MVR 2,000 per quota annually to recruit foreign workers. With the change, more than 30,000 SMEs are expected to benefit from the relief, which officials say is aimed at easing operational costs and supporting business growth.

The policy follows a decision by Mohamed Muizzu after concerns were raised by SME operators during a meeting held on 17 December. The government had pledged to begin implementing supportive measures for small businesses from January this year.

Authorities said safeguards have been built into the regulation to prevent misuse, including provisions to ensure the quota fee exemption cannot be duplicated across multiple businesses owned or operated by the same individuals or partners, in a bid to reduce risks such as human trafficking.

User guidelines outlining procedures for employers will be published on the Expat System, according to the ministry.

The government said the measure forms part of broader efforts to address systemic challenges within the sector over the next two years and to strengthen the contribution of SMEs to the Maldivian economy.