The Ministry of Economic Development and Trade hosted the "Addu Business Dialogue" in Addu City in May 2026, a two-day forum that brought together local entrepreneurs, investors, and industry leaders to discuss a new three-year SME incentive programme set to commence on 1 January 2027.
Under the programme, businesses operating in the designated Addu SME zone (which explicitly includes Meedhoo and Hulhudhoo) will be eligible for exemptions from land rent and income tax. The government has framed the initiative as part of its broader strategy to transform Addu into a regional IT hub, supported by the planned landing of a Google subsea cable in Hithadhoo that will provide hyperscale bandwidth.
The dialogue also addressed barriers to SME growth, including digital payment integration (with platforms such as PayPal and the local "Swipe" wallet) and the concurrent establishment of the Addu Regional Free Zone at Hithadhoo Port for duty-free storage and manufacturing. For Meedhoo's new island council, the programme presents a significant opportunity to attract investment to the island's tourism, agriculture, and technology sectors.
“Tax-free, rent-free for three years from 2027: the government wants Addu (including Meedhoo) to become an IT and SME powerhouse.”
