MDP calls on govt. to disclose details of Eagle Hills deal, hold public referendum

The main opposition Maldivian Democratic Party (MDP) has called on the government to immediately disclose all terms and details of its agreement with UAE-based Eagle Hills concerning the allocation of 500 hectares of land in Rasmalé and to hold a public referendum on the project.

On September 21, Eagle Hills signed a commercial terms agreement or letter of intent for a mega project to develop a new integrated island destination in Rasmale’, including international hotels and resorts, premium and branded residences, a world-class marina, waterfront promenades, restaurants, shops, leisure and wellness centers. However, several political figures and activists have raised concerns that the development could allow Israeli citizens to acquire property in the area.

In a statement on Thursday, the MDP expressed serious concern over the agreement to allocate a substantial portion of Fushidhiggaru Falhu to a foreign entity, following significant state investment in reclaiming the land under the stated objective of providing housing for Maldivians. While reaffirming its support for foreign investment and free trade, the party described the government's handling of the transaction as dangerous.

MDP further claimed that significant discrepancies exist between information publicly disclosed by Eagle Hills and statements made by the government. It described the government's reluctance to disclose the full terms of the agreement as a "dangerous sign." The party therefore called for clarification on the agreement's duration, the financial obligations and responsibilities of the state, and the specific financial incentives and exemptions granted to the foreign company.

"We call for the disclosure of all details agreed upon between the two parties, including the duration of the agreement, the responsibilities of the Maldivian government, and the financial concessions and exemptions granted to the foreign party, to ensure transparency for the citizens," MDP’s statement read.

The party also urged the government to clarify whether the project includes any arrangements permitting foreigners to own land in the Maldives or provisions that could facilitate permanent foreign ownership in the future. The MDP maintained that the government has no authority to introduce policies allowing foreign ownership of Maldivian land.

Citing Article 4 of the Constitution, which establishes that all state powers derive from and remain with the people, the party argued that the government should not proceed with such agreements without first consulting the public through a national referendum.

The MDP's call for transparency comes as a constitutional case was filed in the Supreme Court on September 28th seeking to revoke the commercial agreement between the government and Eagle Hills on the grounds that it violates the Constitution. The filing was announced in a statement posted on X by lawyer Ali Hussain. However, the Supreme Court Registrar decided on Tuesday not to accept the constitutional case for review.

The Eagle Hills project is set to be run under new real estate laws, which are currently in the drafting stage.

The project is described by the Maldives government as one of the most ambitious development initiatives in the country’s history.

According to the Maldives government, preliminary economic impact estimates indicate the project could attract more than USD 30 billion in gross foreign investment over its lifetime, including about USD 18 billion in net foreign investment in the Maldives.

It is also expected to create more than 54,000 direct and indirect jobs. At full maturity, the destination is expected to attract more than one million visitors annually and generate more than USD 2 billion in annual tourism revenue.