Responding to opposition criticism over the 99-year lease granted for the USD 20 billion Rasmalé project, Attorney General Ahmed Usham noted that 99-year lease extensions were originally introduced into Maldivian law during former President Abdulla Yameen’s administration.

The Attorney General made the statement on social media to address opposition allegations that the government is engaged in an unlawful sale of state land to foreign interests.

The controversy follows a deal signed on 21 September between the Maldivian government and Abu Dhabi developer Eagle Hills to construct a waterfront and marina development in Rasmalé, which includes leasing 500 hectares of reclaimed land to the developer for 99 years.

Usham emphasised that the Rasmalé project will not fall under the Tourism Act. Instead, it will be regulated by a dedicated Real Estate Act currently being drafted by the government.

He clarified that the agreement signed on 21 September is a non-binding Letter of Intent detailing commercial terms. Final, definitive contracts will require further negotiations, as well as the passage of enabling primary legislation by the People’s Majlis, before physical work can begin.