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Maldives central bank posts strong growth forecast for ‘resilient’ tourism industry

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Maldives central bank has posted a strong growth forecast for the country’s tourism industry as it hailed the resilience of the industry observed last year.

In its annual report for 2016 released Tuesday, Maldives Monetary Authority (MMA) said the strong growth observed in the tourism sector during the latter part of last year is expected to continue this year. The strong growth is attributed mainly to the increased number of tourists from the European market, which reflects better growth prospects for the region, it added.

Mirroring the positive outlook for the sector, MMA projected bed nights growth to be at five percent in 2017.

“These projections may be even higher if the remarkable performance seen in the tourism sector at the turn of the year continues,” the report read.

 

Recovery in second half of 2016

Maldives marked 2016 as ‘Visit Maldives Year’ in an effort to reach a target of 1.5 million tourists entering the country during the year. Several tourism promotion activities were carried out in Asia and Europe, and many competitions and events were also held within the Maldives to boost tourist arrivals. While the campaign was successful in attracting 1.3 million tourists — four percent more than the previous year — it fell short of reaching the 1.5 million target.

According to MMA, the trend in tourist arrivals to the Maldives during 2016 showed that arrivals picked up strongly in the second half of the year. This increase was underpinned by improving economic conditions in European countries, coupled with a rise in flight movements by international carriers over the period, the authority said adding that the strong growth in arrivals from the European markets more than offset the decline in arrivals from the Chinese market.

MMA noted that other key indicators such as bed nights growth also followed a similar trend, gaining momentum towards the latter part of the year and recording an overall growth of three percent for the year. Reflecting this, the average duration of stay, which has been on a downward trend, fell only slightly to 5.6 days in 2016 from 5.7 days in 2015, contributing to a six percent growth in estimated tourism receipts, it said.

The tourism sector witnessed a major expansion in terms of the number of resorts and bed capacity in 2016, the authority stressed. With the opening of 11 new resorts, the total number of resorts in the country increased to 126 at the end of the year, while the number of registered guesthouses, hotels and safari vessels reached 382, 16 and 144, respectively. With regard to bed capacity, the average operational bed capacity of the industry7 stood at 29,457 beds.

 

Tourist demographics: Europe regains market share

As for the market share of tourists, Europe accounted for 45 percent of total tourist arrivals, while Asia accounted for 46 percent. Reflecting the improving economic conditions in the European markets, market share for Europe increased; this was a reversal of the downward trend of previous years. However, the market share of Asia — the market leader since 2014 — dipped from the 49 percent in 2015 to 46 percent in 2016.

Arrivals from the European market grew significantly at seven percent during 2016 after recording a marginal growth rate of one percent in 2015. This was mainly supported by growth in arrivals from the UK, despite a marked depreciation in the pound sterling. On the other hand, Germany, the second largest market from the region registered a marginal growth owing to political tensions in their country. Other key markets such as Italy registered a remarkable positive growth, whereas growth in tourists from France dropped significantly during the year. Arrivals from Spain also registered a sizeable growth compared with previous years. In addition, arrivals from smaller source markets in Eastern, Central and East Mediterranean Europe also improved.

“This can be attributed to an increase in flight movements to these regions during the year,” the report read.

MMA noted that arrivals from Russia — the fourth largest European market — also showed a strong positive growth after recording two consecutive years of negative growth. This reflected the easing of the recent economic recession that was prevalent in the country, it said.

Total arrivals from the Asia and Pacific region registered a marginal decline in 2016 after posting a positive growth during the previous year. Growth was largely hampered by the 10 percent decline in Chinese arrivals.

However, other key markets from the Asian region — such as India, Sri Lanka and Malaysia — showed pronounced growth on the back of increased flight movements. Some operators introduced flights to new destinations in 2016, including new flights to New Delhi and Colombo, contributing to more arrivals from both India and Sri Lanka.

MMA attributed the increase in arrivals from Malaysia to the growth in flight movements of a regional low-cost carrier from South East Asia during the year.

Arrivals from the Middle East also posted a strong growth rate, owing to an increase in arrivals from Saudi Arabia. This may be due to a new the commencement of Saudi Arabia’s flagship carrier Saudia between Riyadh and the Maldives, according to MMA.

Arrivals from the Americas, which have doubled in the past five years, also increased due to considerable growth in arrivals from the US.

 

Similar trends in 2017?

Despite the strong growth forecast by the central bank, Maldives has experienced another slowdown in tourist arrivals in the first quarter of the year. January saw a significant increase in arrivals, but growth has slowed down since then with a 2.1 percent drop in arrivals in March.

Europe, the largest regional source market which has been recovering for the past couple of months after a year of falling growth, also posted a drop of three percent in March with important European markets such as the United Kingdom declining by nine percent.

Middle East, one of the most important emerging source markets, also observed a decline of 8.3 percent in March with arrivals from Saudi Arabia dropping by 31 percent.

Leading global market research and analysis firm STR has also said that the Maldives tourism industry observed a moderate performance in the first quarter of the year.

A report analysing Asia Pacific hotel industry performance shows that occupancy fell by one percent to 69 percent in the Maldives during the first quarter. Average Daily Rate (ADR), however, increased by 2.3 percent to MVR13,044.63 (USD846.5) and Revenue Per Available Room (RevPAR) was up 1.3 percent to reach MVR9,000.17 (USD584).

RevPAR growth was moderate in the Maldives throughout the quarter despite a 10.3 percent increase in January, which was due to a 32 percent rise in arrivals from China during the Spring Festival Golden Week holiday. RevPAR growth for the quarter, however, became muted with declines in both February (-3.8 percent) and March (-4.2 percent).

Over the past three years, dozens of uninhabited islands have been leased to local and foreign resort developers. Several international brands have entered into the market, increasing the number of resorts to 120. That number is set to increase as the government has announced the opening of some 20 new resorts by the end of this year.

Along with the new resort openings come the challenge of increasing demand from budget travellers who choose guesthouses over luxury resorts that the Maldives is known for. The guesthouse sector has rapidly expanded with over 300 guesthouses in operation today.

Government has come under fire from private organisations representing industry stakeholders such as the Maldives Association of Travel Agents and Tour Operators (MATATO) over the lack of effort and budget to promote the Maldives as a destination.

The government has recently announced new steps to maintain a structured growth in tourism, including a slowdown in leasing islands for resort development and increased marketing efforts in key markets such as China and the Middle East in order to reach an ambitious target of a record 1.5 million tourist arrivals this year.

Photo courtesy: Amilla Fushi

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Cinnamon Hotels & Resorts earns top honours at 2025 Traveller Review Awards

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Delivering unforgettable travel experiences remains at the heart of hospitality, and Cinnamon Hotels & Resorts in the Maldives has once again been recognised for its commitment to excellence at the Booking.com Traveller Review Awards 2025. Now in its 13th year, the awards are based on over 360 million verified guest reviews, reflecting traveler experiences. As a homegrown brand from Sri Lanka, Cinnamon Hotels & Resorts continues to redefine hospitality in the Maldives with its collection of tropical sanctuaries.

With a rating of 9.3, Cinnamon Hakuraa Huraa Maldives continues to captivate travellers seeking an idyllic island retreat in the Meemu Atoll. This island serves as the perfect getaway for couples seeking ultimate relaxation and escape, while the exclusive 18+ Platinum Island provides an adults-only haven. The Platinum Beach Bungalows offer undisturbed tranquility for those desiring a true escape from the world. The resort’s chic overwater bungalows, complete with glass floors revealing the wonders beneath and private terraces with hammocks, provide an intimate and serene retreat, ideal for honeymooners.

Also earning a rating of 9.3, Cinnamon Velifushi Maldives stands out for its contemporary design, resembling the shape of a manta ray. Vaavu Atoll, the least commercialised atoll in the Maldives, offers quiet beaches and empty dive sites, giving guests the opportunity to experience untouched beauty. The shipwreck at Vaavu Atoll is a popular diving destination, home to a variety of marine life, including fish, corals, and other invertebrates. With a combination of thrilling water sports and laid-back island vibes, Cinnamon Velifushi Maldives serves as a perfect choice for travellers seeking both excitement and relaxation.

Receiving a rating of 9.0, Cinnamon Dhonveli Maldives remains one of the most sought-after destinations in the Maldives, particularly among surfers and ocean lovers. Located just a 20-minute speedboat ride from Malé, the resort is home to the world-renowned Pasta Point, one of the most consistent surf breaks in the region. The island’s lively atmosphere, diverse recreational offerings, and welcoming hospitality make it ideal for families, featuring a dedicated children’s play area that provides a safe and engaging space for fun-filled activities. Whether traveling as a couple, a family, or a group of friends, the resort offers a perfect balance of adventure, relaxation, and unforgettable memories.

With a rating of 8.9, Ellaidhoo Maldives by Cinnamon is recognised as a diver’s paradise, celebrated for its legendary house reef and year-round diving opportunities. Located in the North Ari Atoll, the resort offers one of the best house reefs in the Maldives, attracting diving enthusiasts eager to explore its rich marine biodiversity. The rustic charm of Ellaidhoo, combined with its commitment to marine conservation, provides an authentic island experience where guests can disconnect from the world and reconnect with nature. Whether diving with reef sharks, enjoying beachside dining, or simply soaking in the island’s natural beauty, Ellaidhoo offers a distinctive retreat for underwater adventurers.

Marking the launch of an exciting summer offer, guests planning a Maldivian getaway for a minimum of four nights between May 1, 2025, and October 31, 2026, will receive complimentary speedboat transfers. Additionally, for an elevated travel experience, GHA Discovery membership offers even greater rewards and exclusive benefits. From the moment guests sign up, they can earn and redeem Discovery Dollars (D$), access member-only rates, and enjoy carefully curated local experiences. With privileges available at every membership level, GHA Discovery enhances each stay by offering recognition and unique opportunities to explore the destination in an immersive way.

Combining the warmth of Sri Lankan hospitality with the natural beauty of the Maldives, Cinnamon Hotels & Resorts in the Maldives continues to offer the perfect blend of relaxation and discovery.

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OZEN LIFE MAADHOO earns Green Globe Gold Certification

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THE OZEN COLLECTION has announced that OZEN LIFE MAADHOO has been awarded the Green Globe Gold Certification after maintaining certification for five consecutive years. This prestigious recognition highlights the resort’s unwavering commitment to environmental stewardship, seamlessly integrating world-class luxury with innovative sustainability practices to protect the delicate ecosystems of the Maldives.

At the heart of OZEN LIFE MAADHOO’s achievements lies a comprehensive approach to conservation. The resort’s team of in-house marine biologists leads a coral restoration project aimed at revitalising a 300-meter section of the house reef. This initiative employs 80 coral frames supporting over 2,000 coral fragments. Collaborations with organisations such as Manta Trust, Olive Ridley Project, and Parley, along with an upcoming partnership with Miyaru NGO, strengthen marine protection efforts while guest education programs enhance awareness of ocean conservation.

According to Nuria Camps Suarez, Head Marine Biologist at OZEN LIFE MAADHOO, the coral restoration project represents more than just conservation—it symbolises a commitment to future generations. By restoring the house reef, the resort is actively rebuilding a thriving ecosystem. Partnerships with organisations such as Manta Trust and Parley further amplify the impact, ensuring the preservation of the Maldives’ marine heritage.

The resort also integrates renewable energy solutions, featuring one of the Maldives’ largest floating solar panel systems. This system comprises twelve platforms with 720 panels, supplemented by 1,095 rooftop solar units, collectively generating 30% of the island’s energy requirements and significantly reducing dependence on fossil fuels.

OZEN LIFE MAADHOO’s dedication to a zero-waste philosophy is reflected in its advanced waste management systems. A fully automated organic composter processes three tons of green waste weekly, converting it into nutrient-rich fertiliser, while in-vessel shredders transform garden clippings into compost. Additionally, glass bottles are crushed and repurposed for minor construction projects.

Sustainable dining is also a cornerstone of the resort’s eco-conscious approach. The hydroponic farm enhances gastronomy by growing lettuce and herbs in a soilless system, reducing water consumption from 250 litres to just 50 litres per kilogram. This method meets 70% of the island’s lettuce demand while providing fresh, organic ingredients to its award-winning restaurants.

These sustainability initiatives are seamlessly incorporated into the guest experience, allowing visitors to enjoy bespoke activities such as snorkelling among regenerated reefs and savouring produce from the hydroponic farm—ensuring luxury and environmental responsibility go hand in hand. As OZEN LIFE MAADHOO continues to lead in eco-conscious hospitality, it reinforces THE OZEN COLLECTION’s ethos of ‘Refined Elegance,’ where each stay contributes positively to the planet.

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Experience elegance and serenity at Coco Bodu Hithi’s exclusive Coco Residences

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Coco Bodu Hithi, a hospitality resort owned by Maldivians, is renowned for its sleek design and comfort. The resort features expansive 184-square-metre residences, each equipped with a private pool, offering elevated privileges to guests across 24 exclusive Coco Residences.

Suspended above the crystal-clear lagoon, these overwater villas provide a private sanctuary, surrounded by endless shades of blue and uninterrupted views of the Indian Ocean. Recognised for its outstanding hospitality, Coco Bodu Hithi was awarded the title of Best Service Resort at the Condé Nast Johansens Awards for Excellence 2025. From the moment guests arrive, they are welcomed with a refreshing Kurumba and a basket of tropical fruits, while the resort ensures seamless and attentive service throughout their stay.

Guests staying in Coco Residences benefit from a range of exclusive privileges, including the dedicated service of a Mithuru, who ensures a smooth and personalised Maldivian experience. These privileges include an Executive Champagne Sunset Cruise, a Cocktail Party, and a Guided Wine Tasting with the Resident Sommelier, along with other unforgettable experiences that showcase the breathtaking turquoise waters and endless horizon.

For environmentally conscious and culturally curious travellers, the resort offers a variety of enriching activities. Visitors can participate in Coral Planting and other tailored initiatives with the resident Marine Biologist or experience the excitement of a Boduberu performance on the island.

To further enhance the guest experience, the package includes complimentary breakfast options, ranging from a dine-around breakfast to an in-villa Floating Breakfast, complete with a photographer for a keepsake. Guests also receive a daily replenished minibar stocked with beers and soft drinks, along with special residence bar benefits.

Wellness plays an integral role in the resort’s offerings, allowing guests to embark on a journey of balance, rejuvenation, and inner harmony through daily sunrise or sunset yoga sessions. Additionally, visitors can indulge in relaxation with the resort’s signature Coco Fusion Massage or a soothing Balinese Massage, both designed for deep rejuvenation.

Coco Bodu Hithi seamlessly combines adventure and exclusivity, offering captivating dive sessions, exhilarating water sports, and thoughtfully curated signature experiences. The resort has also welcomed high-profile celebrities, ensuring unforgettable stays in the Maldives.

For those looking to experience the ultimate getaway, the Coco Summer Escape offer provides a 40% discount along with a complimentary meal plan upgrade, allowing for an even more indulgent stay at Coco Bodu Hithi.

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