President Dr Mohamed Muizzu has ratified the Company Act (Act No. 07/2023) today. The bill was passed by parliament on Tuesday, December 5, 2023, at the 32nd sitting of its third session this year.
The Act establishes the terms for the incorporation, registration, operation, and dissolution of companies in the Maldives, along with other rules and procedures applicable to companies in the country.
In addition, the Act stipulates the rules and procedures for establishing, registering, and managing a company as a business entity. It also specifies general, convenient, and favourable terms and conditions for the registration, incorporation, and liquidation of a company. Moreover, to ensure transparency, it mandates the rules on the compilation, maintenance, and publication of a register of companies.
Private companies, public companies, government companies, and local authority companies can be established under this act. Furthermore, the Act requires that foreign companies must be re-registered and explains the process of re-registration.
This Act shall come into effect on January 1, 2024.
