Guidelines for government joint investments established

Tourism Ministry has established guidelines for leasing islands and land to parties investing along with the government.

The newly assembled guidelines allow islands and land to be leased to joint venture companies which involve the government.

Some of the criteria for the investing company included; for the company to own capital worth $300 million, for the company to buy the government’s lease acquisition cost by paying the full amount, for the company to accede to pay an annual lease acquisition cost, for the company to be able to produce a bank guarantee of 10 per cent of the amount agreed for the project, and if the company is a foreign company, for it to bring in the investment money from abroad.

The new guidelines set by the government allows for government joint venture companies to turn islands leased for investments related to tourism, excluding those which are leased for tourist resorts, hotels or yacht harbours, into tourist resort.

The guidelines also state that the conditions stated will not be applicable for the leasing of islands or land to public companies established along with the government to develop tourist resorts.