MP Ghafoor calls for strategies to increase tourist arrivals instead of raising taxes on visitors
23 އޯގަސްޓު 2026 | އާދީއްތަ 11:13While the Maldives is already considered an expensive destination, MP Ghafoor emphasized that the government should focus on reducing wasteful state expenditure and exploring ways to increase tourist arrivals rather than further raising taxes. He noted that tax hikes could negatively impact the economy and lead to a loss of investor confidence.
Member of Parliament for the Hanimaadhoo constituency, Abdul Ghafoor Moosa (Gapo). | rayyithunge majlis
The Member of Parliament for the Hanimaadhoo constituency, Abdul Ghafoor Moosa, has called on the government to explore avenues for increasing tourist arrivals rather than raising taxes on visitors to the Maldives.
Speaking at Sunday's parliamentary sitting, MP Ghafoor stated that despite the increase in state revenue following recent legislative amendments, the government remains unable to provide essential services to the public due to excessive and wasteful spending.
Highlighting that the Maldives is already the most expensive destination for tourists compared to neighboring countries, MP Ghafoor stated that further increasing taxes on tourists would have a detrimental impact on the economy. He added that the Maldivian economy currently lacks the capacity to withstand additional tax burdens, whether levied on citizens or tourists.
MP Ghafoor highlighted that 40 percent of the spending by every tourist visiting the country currently goes to the government. He further noted that since President Muizzu took office, the state's dollar revenue has increased following hikes in TGST and airport taxes.
"Mr. Speaker, if we continue to increase taxes, there is a significant risk that the Maldives will become an overpriced destination, potentially deterring both investors and tourists. We must acknowledge the urgent need to reduce spending, as state funds are currently being heavily wasted. If we fail to curb this expenditure and instead rely solely on existing systems to extract more revenue from foreign parties, we will inevitably face severe negative consequences."Abdul Ghafoor Moosa
Furthermore, Member Ghafoor stated that imposing taxes on overseas companies would lead to an increase in the prices of guesthouse rooms. He added that attempting to "fleece the pockets" of visitors would only lead to economic ruin. He emphasized that revenue can only be increased by finding ways to attract more tourists and actively working to boost arrival numbers.
