The Maldives Marketing and Public Relations Corporation (MMPRC) has reported that the State earns an average of USD 600 in direct revenue from each tourist visiting the Maldives.

During a year-in-review conference, MMPRC Board Chairman Abdulla Ghiyas explained that revenue from Tourism Goods and Services Tax (TGST) alone is substantial, and even a one per cent increase in tourist arrivals would result in significant additional income.

Speaking about the planned increase in TGST next year, Ghiyas noted that the Ministry of Finance and Planning estimates State revenue from tourism-related taxes will amount to MVR 200 million, approximately USD 12 million. He explained that this figure translates to around USD 600 per tourist, with an additional 20,000 visitors contributing to the total.

Ghiyas highlighted that while the Maldives maintains strong per-tourist revenue due to its positioning as a luxury destination, there are ongoing challenges within the tourism sector.

He noted that the increase in accommodation supply has outpaced demand, creating an imbalance that could pose economic risks if tourist arrivals do not grow proportionally.

To address these concerns, Ghiyas suggested that guesthouses focus on attracting high-end tourists to increase their profitability.

Additionally, Ghiyas outlined plans to prioritise marketing efforts in key markets, including Russia, Germany, and other European countries, to boost occupancy rates. This strategy, he added, aims to counterbalance shorter stays typically associated with tourists from China and India.