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BUSINESS IN MALDIVES
 
Maldives Economic Profile

The Republic of Maldives is an Indian Ocean archipelago of 1,100 palm fringed coral islands, grouped into 26 atolls, located off the southern tip of India. The country is 820 kilometers long and 130 kilometers wide, with a surface area of 90,000 square kilometers.

The population of the Maldives is approximately 360,000; a third of which live in the capital, Male'. A further 200 islands are inhabited by local people and the country also boasts around a hundred luxury resort islands. The country's pristine environment and exquisite marine ecosystem attracts 600,000 tourists per year and sustains a large fishing fleet.

 
Doing Business In Maldives

According to World Bank's 2006 Investment Climate Assessment, Maldives ranked highest in the region in terms of World Banks' ease of doing business index. The Maldives' liberal trade environment, dynamic private sector and development oriented legal structure all contribute to a climate conducive to trade and investment. Most recently the World Bank and IMF have shown strong support towards the recent government reforms providing strategic financial assistance for the onward stability of the economy.

The Maldives is socially cohesive, with a homogenous population that shares one culture, religion and language. Furthermore, the Maldives enjoys political stability, as witnessed by the recent peaceful transfer of power to a new, democratically-elected and pro-market and business friendly President. A new constitution, enacted in 2008, that enshrines the separation of powers between the executive, legislature and judiciary, is testament to the country's stature as a modern and forward-looking nation.

The number of foreign companies investing in the Maldives has been increasing yearly for over a decade and foreign companies now provide air transport, resort management, manufacturing, management and accounting services.
The economy has enjoyed robust growth averaging close to 8 percent per annum during the last decade, particularly through the success and continued expansion of its tourism industry. To build on this growth, the new administration recognizes the need for greater private sector involvement in the Maldivian economy.

 

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