Mohamed Ghassan Maumoon, the Minister of Defence, has dispelled concerns about the financial impact of President Dr Mohamed Muizzu's recent amendment to national security-related investments. By raising the minimum investment threshold from USD 15 million to USD 100 million, the minister has said, the government aims to strengthen the nation's sovereignty and security without placing undue strain on public finances.
The amendment, announced on Tuesday, marks a pivotal change to the presidential decree regulating cross-subsidy investments. By establishing higher thresholds for eligible projects, the policy underscores the administration's commitment to fortifying the country's security framework through strategic private investments.
"The decree makes it unequivocally clear that this is not a government expense," Minister Maumoon explained during an interview with PSM News, citing Section 5(j)(3) of the Maldives Tourism Act. "It is a contribution received by the Maldivian people."
These provisions reflect the broader scope of the Maldives Tourism Act, which enables the tourism ministry to allocate uninhabited islands and lagoons for tourism development. Such initiatives are designed to align with government strategies promoting economic and social advancement. Section 5(j)(3) of the tourism law mandates the publication of minimum investment requirements for projects operating under the cross-subsidy model.
This model has historically supported critical infrastructure projects across the country, from airports to ferry services. The latest amendment to the investment threshold signals the administration's heightened focus on enhancing the capabilities of the Maldivian security forces to ensure sovereignty and safeguard the nation's exclusive economic zone.