Tourism sector raked in USD 5.6bn for the Maldives in 2024
After resorts, the highest revenue was generated by domestic air transport, duty-free businesses, Maldivian travel agents, and guesthouses
A family of three walks along a white sandy beach
The Maldives Association of Tourism Industry (MATI) has revealed that the tourism sector earned USD 5.6 billion for the Maldives in the past year 2024.
This is a 12.4 percent increase compared to the previous year. Of this, USD 4.5 billion dollrs were earned by resorts. This accounts for 83.6 percent of the total revenue.
MATI disclosed this information at the association's 35th Annual General Meeting.
According to MATI, after resorts, the highest revenue was generated by domestic air transport, duty-free businesses, Maldivian travel agents, and guesthouses.
MATI revealed that the tourism sector generated USD 1.06 billion in revenue for the government. This represents 95 percent of the government's total revenue. Of this, USD 620 million came from TGST (Tourism Goods and Services Tax). USD 123.6 million were from land rent. Further, USD 73 million was generated as Airport Development Fee.
MATI's 35th Annual General Meeting (AGM) was held on February 9, at Kurumba Maldives. 111 members participated in the AGM.
The Annual General Meeting began with speeches from the Chairman, Mohamed Umar Manik, and the Secretary General.
At the meeting, Secretary General Ahmed Nazeer highlighted the significant contribution of the tourism industry to the Maldivian economy over the past year. He also discussed major potential challenges for the future.
It was noted that the tourism sector remained the largest contributor to the country's GDP in 2024. The sector also played a leading role in job creation and generating revenue for the government.
Last year, for the first time, the number of foreign tourists visiting the Maldives exceeded 2 million. This is a 9 percent increase compared to the previous year.
The total number of bed nights increased by three percent last year. 11 million bed nights were recorded across 172 resorts, maintaining an occupancy rate of 71.2 percent. The highest occupancy rate was recorded in February at 95 percent. The lowest occupancy rate was recorded in June at 50 percent.
Despite these successes, it was noted that the sector faces many challenges. These include the increase in Tourism Goods and Services Tax (TGST) in 2024 and 2025, raising the service charge to 10 percent, and increasing the Green Tax. In addition to this, the rise in air travel costs due to increased airport-related taxes was also emphasized.
One important point highlighted at the meeting was the increasing government debt. By the end of the third quarter of 2024, government debt had reached MVR 120 billion. This is a three percent surge in comparison to the previous quarter. MATI highlighted that revenue from the tourism sector plays a crucial role in reducing the country's debt. MATI also called for more attention to be paid to the proper utilization of the revenue generated.
