Tourism Situation Worse Than During COVID; No Action Taken Despite Circumstances: Didi
Maradhoo MP Ahmed Didi has criticized the government for its failure to take adequate measures despite warnings that the Maldives' tourism industry could face a $500 million loss due to declining arrival numbers. Highlighting that low resort occupancy rates have already led to staff being placed on unpaid leave and widespread job cuts, the lawmaker accused the administration of lacking a robust strategic plan to revitalize the nation's vital tourism sector.
Ahmed Didi, Member of Parliament for the Maradhoo constituency. | RaajjeMV
The tourism sector in the Maldives is currently in a worse state than it was during the COVID-19 pandemic, and President Dr. Mohamed Muizzu’s administration has failed to take any action to address the situation, Maradhoo MP Ahmed Didi has stated.
The government has stated that it does not intend to provide direct financial assistance in response to claims from industry associations that the tourism sector could face losses of up to $500 million. Despite the associations' formal requests for government intervention to mitigate these projected losses, officials indicated that no specific aid package tied to that figure is currently under consideration.
Speaking on RaajjeTV’s "Fala Surukhee" program, he noted that tourist arrivals to the Maldives have significantly declined over the past few months compared to previous periods. Didi stated that although the downward trend is evident in the arrival statistics, the government appears to be largely ignoring the issue. He further characterized the administration as lacking a coherent plan for the country's economy and tourism sector.
Didi stated that the decline in tourism occupancy has led to a significant reduction in foreign exchange inflows into the country. He noted that while the Maldives' bed capacity has increased, the necessary efforts to capitalize on this expansion have been lacking. He further highlighted that operational difficulties at resorts have forced some establishments to send employees on leave or unpaid leave. Didi also pointed out that several resorts are taking measures such as downsizing their workforce and implementing hiring freezes.
Didi stated that while the Maldives' tourism industry continues to decline, neither the Ministry of Tourism nor the state-owned enterprise established to promote the sector are taking necessary action. Furthermore, Didi noted that the government has failed to make efforts to increase flight frequencies to the Maldives, which is essential for boosting tourist arrivals.
"What specific measures have been taken to increase tourist arrivals? Even the airports company needs to work on increasing flight frequencies. Efforts are underway to fulfill the President's other pledges. Given the current state of the industry, we must establish ways to attract visitors from various other markets," Didi said.
Didi emphasized that as tourism is the backbone of the Maldivian economy, the industry must not be allowed to decline. Industry stakeholders noted that tourist arrivals have decreased by over 100,000 compared to last year, warning that this downturn will have a profound impact on the sector.
