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Maldives is developing steadily and finance and investment play a crucial role in this development. With the inception of the tourism industry and its subsequent flourish, Maldives finance and investment witnessed a significant growth. Earlier in the absence of a proper investment framework and sufficient statutes, the investors did not risk investing in the country. The codification of laws and the establishment of authorized investment institutions altered the entire set up and made the conditions conducive for finance and investment in Maldives. The Foreign Investment services Bureau or the FISB was set up by the Government of Maldives to provide every possible help and benefits to investors. Duty exemptions, 100 % foreign ownership, no restriction on repatriation of profits were some of them. Maldives does not impose any kind of income tax on its citizens. A bank profit tax is charged. The Government is considering the imposition of a corporate profit tax.
Foreign investment in Maldives comes mainly from banking, resort management, accounting, air transport, telecommunications, manufacturing and courier services. Law 25/79 of Maldives accounts for the foreign investment in the country and calls for an agreement between the investor and the government with the terms and conditions of the agreement clearly stated.
Several sectors have been identified by the FISB with the potential of acquiring foreign investments. They include the financial sector, the transport sector, fisheries, telecommunication, information technology and last but definitely not the least, tourism.
Trade has always been Maldives forte. Since ages Maldives has carried on overseas trade with other nations. It exports dried and canned fish, copra, tortoise shells, coir rope and ambergris to other countries. Trade in Maldives does not require any export duty.
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