Business
Owing to tourism, Fitch assigns Maldives B+ rating with stable outlook
Fitch Ratings has assigned the Maldives a first time Long Term Foreign and Local Currency Issuer Default Ratings (IDRs) at B+ with a stable outlook, largely owing to the country’s resilient tourism industry.
In an statement, the leading global credit rating agency said Monday that the country ceiling for the Maldives is assigned at BB- and the Short Term Foreign and Local Currency IDRs at B.
Fitch said the ratings balance the Maldives’ advanced economic development, strong GDP growth and high government revenue generated by a prosperous tourism sector against a high government debt burden and low foreign reserve buffers.
The Maldives’ success as a prime luxury tourist destination has generated relatively high GDP per capita of USD 9,145 (B category median is USD 3,362), Fitch said, adding that real GDP growth is expected to pick up to four percent in 2017 and 4.5 percent in 2018 from 3.9 percent in 2016 due to continued tourism demand and construction. It noted the development of new resorts and the large infrastructure projects initiated by the government, including capacity expansion of the main airport, the construction of a bridge linking the capital to population centres, an advanced medical centre and new housing units.
“The government’s ability and propensity to tax the luxury tourism sector has led to a revenue ratio of 34.9 percent of GDP, significantly higher than the B median of 24.7 percent. There is still potential to further increase the amount of revenue raised from tourism if needed, given the likelihood of rather inelastic demand in the luxury segment to moderate price rises. Government revenue forms an important link between tourism and other sectors of the economy,” the statement read.
However, Fitch warned that high dependence on tourism makes the economy vulnerable to sudden events that harm the perception of Maldives as a safe and reliable tourist destination, including the emergence of political instability in an already-polarised environment or security issues.
“The country’s high dependence on a single sector causes volatility in economic metrics, such as GDP growth, and makes the country vulnerable to external shocks and domestic developments that undermine the Maldives’ attractiveness as a tourist destination; for example, changes in perceptions of safety,” the statement read.
The agency also cautioned that execution of many large infrastructure projects at the same time has posed serious fiscal challenges. Foreign debt financing of the large construction projects will increase the importance of foreign-reserve buffers in the years ahead, it said.
“The risks to external balances from the low reserve base are mitigated by the persistent current account deficits being fully financed by foreign direct investment and by the tourism sector both earning and spending in US dollars. This implies that tourism-related outflows should also fall in the case of a sudden drop in tourism-related inflows,” the statement read.
“In addition, the country has managed with similarly low levels of foreign-exchange reserves for a number of years without experiencing an exchange rate shock.”
Dredging of the satellite town of Hulhumale, a major project undertaken by the government. PHOTO/ HDC
Fitch highlighted the new measures included in this year’s state budget to increase revenue and to cut expenditure to make fiscal space for the projects underway, saying that the remedial action should significantly lower the deficit to 4.3 percent of GDP in 2017 and 3.8 percent in 2018. However, it said the official target of reducing the fiscal deficit from the government’s estimate of 7.4 percent of GDP in 2016 to 0.5 percent in 2017 is highly ambitious.
“On the basis of the government’s announced measures and Fitch’s nominal GDP forecast, the agency expects general government debt/GDP to fall gradually from 72.3 percent in 2017 to 70 percent in 2020. At the same time, risks to debt sustainability remain and the stabilisation of debt, assumed by Fitch, depends on the government’s willingness and ability to follow through on its fiscal consolidation plan,” the statement read.
Fitch highlighted a few main factors that could lead to negative rating action:
- A significant rise in general government debt; for instance, caused by a failure of the government’s fiscal consolidation strategy.
- Balance of payment pressures; for instance, a fall in foreign exchange reserves or a higher than Fitch expected increase in external debt.
Fitch also highlighted a few main factors that could lead to positive rating action:
- Policy initiatives that lower general government debt to levels closer to the rating category median.
- Strengthening of external buffers through accumulation of foreign-exchange reserves.
- Diversification of the economy by developing sectors other than tourism; for example, facilitated by implementing structural reforms that enhance the business environment.
Fitch’s first ever credit rating for the Maldives is in line with a similar rating assigned by Moody’s Investors Service in September of B2 with a stable outlook. In the first ever sovereign credit rating of the Maldives, Moody’s also noted the Maldives’ healthy GDP growth prospects driven by the tourism sector, while raising concerns over relatively low institutional and fiscal strength and moderate susceptibility to event risk.
Credit ratings are used by investors as indications of the likelihood of receiving the money owed to them in accordance with the terms on which they invested.
Majority of foreign investments come into the tourism sector. Several foreign investors are developing resorts in the Maldives with many more expected to come this year as well.
With several foreign investments in tourism, Maldives has maintained its lead in performance of tourist properties amongst Indian Ocean destinations. A recent report by industry-leading global real estate services company Colliers International has shown that the Maldives has a significant lead on rival Indian Ocean destinations such as Mauritius, Seychelles and Zanzibar in almost every performance indicator, including occupancy, Average Daily Rate (ADR) and Revenue Per Available Room (RevPAR).
Coca-Cola Maldives is turning up the excitement with the launch of its 2026 football campaign, bringing fans across the country a season packed with prizes, shared moments and exciting ways to celebrate the game together.
As the build-up to the FIFA World Cup 2026 begins, Coca-Cola Maldives is inviting consumers to join in the fun with a campaign built around everything that makes football special: the anticipation, the matchday thrill, the watch parties, the celebrations and the memories made along the way.
From March to May, consumers in the Maldives will have the chance to take part in the Coca-Cola Maldives FIFA World Cup 2026 promotion, with weekly prizes, branded merchandise and a grand prize experience linked to one of the biggest sporting events in the world.
As part of the campaign, Coca-Cola Maldives is rolling out the UTC Promo from March 21 to May 24, giving consumers even more ways to be part of the football excitement. Special promotional packs will feature a unique code either under the cap or under the tab, depending on the product format. For 500ml, 1.25L and 2L PET bottles, codes will appear under the special Golden Caps on Coca-Cola, Sprite, Fanta Orange and Fanta Strawberry. For 330ml cans, codes will appear under the tab on Coca-Cola. Consumers can enter by sending the code via SMS to 2626 for the chance to win a range of prizes throughout the campaign period.
The promotion will run across 330ml cans as well as 500ml, 1.25L and 2L PET bottles, making it easy for consumers to join in whether they are picking up a drink for themselves, sharing with friends, or stocking up for a matchday gathering. With multiple participating brands and pack formats included in the promotion, Coca-Cola Maldives is creating more opportunities for consumers across the country to take part in the campaign and enjoy the football season together.
At the top tier, eight winners will receive an all-expenses-paid experience for two to watch a FIFA World Cup match live, creating a once-in-a-lifetime football moment. Under Tier 2, 60 winners will receive Coca-Cola branded mini-coolers, while 120 winners will take home Coca-Cola branded football-shaped personal coolers. Under Tier 3, 180 winners will receive Coke and FIFA branded footballs, adding even more play and energy to the season.
Adding a live moment to the excitement, the first set of winners will be announced on ICE TV on April 6 at 9pm, with winner announcements continuing every week throughout the promotion. This weekly reveal is set to bring an added sense of anticipation and shared excitement as the campaign unfolds across the Maldives.
The campaign is designed to bring fans closer to the game and make every football moment even more enjoyable. Whether it is watching a match with family at home, catching the action with friends at a café, or picking up a favourite Coca-Cola pack from a neighbourhood store, Coca-Cola Maldives aims to be part of the moments that make football season unforgettable.
“Football has a way of bringing people together like nothing else, and that is what inspired this campaign,” said Mario Perera, Country Head for Sri Lanka and the Maldives. “In the Maldives, the game is enjoyed in such a lively and social way, and Coca-Cola Maldives wanted to create a campaign that feels fun, relevant and easy for people to be part of. It is about celebrating the season, enjoying the experience with others, and giving fans something extra to look forward to.”
Adding to the excitement, Coca-Cola Maldives will also launch collectible country packs in the Maldives from May to July, giving fans the chance to celebrate the global game in a new way. Inspired by some of football’s most recognised nations, these limited-edition packs will bring a colourful and collectible twist to the season.
Across the Maldives, Coca-Cola Maldives will work with retail partners to bring the campaign to life through in-store visibility, promotional touchpoints and selected local activations that capture the spirit of football and community.
“The Maldives is a unique market, and Coca-Cola Maldives wanted this campaign to connect with the way people here enjoy football, together, with energy, and with a real sense of occasion. Coca-Cola Maldives is excited to bring that spirit to life in the months ahead,” added Mario Perera.
This marks the start of Coca-Cola Maldives’ 2026 journey in the market. With more fan moments, more excitement and more ways to join in still to come, Coca-Cola Maldives is looking forward to celebrating the football season with consumers across the country.
Hotelier Maldives has announced Bestbuy Maldives (BBM) as the Title Partner of Hotelier Maldives Awards 2026 under a multi-year agreement, reaffirming one of the longest-standing partnerships behind the publication’s flagship hospitality recognition platform.
The 2026 edition marks the third consecutive year that BBM has served as Title Partner of Hotelier Maldives Awards, having supported the event in the same capacity since its launch in 2024. BBM has also backed Hotelier Maldives’ second flagship event, GM Forum, every year since 2023, with 2026 set to mark its fourth year as a Silver Partner of the forum.
The continued partnership reflects a shared commitment to recognising the people behind the Maldives’ tourism industry while supporting platforms that encourage industry dialogue, leadership and professional development.
Hotelier Maldives Awards 2026 entered its public voting phase on 15 March 2026, with voting set to remain open for one month. Winners will be announced at the gala ceremony on 26 April 2026 at NIVA Kurumba Maldives.
Commenting on the partnership, Ali Naafiz, Editor of Hotelier Maldives, said: “BBM has been a valued partner of Hotelier Maldives Awards since the very beginning, and we are pleased to formalise this continued support through a multi-year agreement. Their decision to return as Title Partner for a third consecutive year reflects not only the strength of our relationship, but also a shared belief in the importance of recognising the people who drive excellence across the Maldives’ hospitality industry.
“BBM has also consistently supported GM Forum over the years, making them one of the most committed partners across our event platforms. We are proud to continue working together as we strengthen both Hotelier Maldives Awards and GM Forum as annual fixtures for the industry.”
AVS Subrahmanyam, Chief Operating Officer of BBM, said: “At BBM, we have always believed that a strong hospitality industry is built by strong people, and Hotelier Maldives Awards provides an important national platform to recognise the professionals whose work often takes place behind the scenes. We are pleased to continue as Title Partner of the awards under this multi-year agreement, while also extending our support to GM Forum for a fourth consecutive year.
“As a company that has grown alongside the Maldives’ hospitality sector, we value opportunities that celebrate talent, encourage professional pride and contribute to the long-term development of the industry. Our continued partnership with Hotelier Maldives reflects that commitment.”
Bestbuy Maldives is one of the country’s leading importers and distributors, serving the hospitality, HORECA and retail sectors with a broad portfolio of international brands. The company positions itself as a partner to the Maldivian hospitality industry, supplying products from around the world across key business verticals including resorts, foodservice and retail.
Hotelier Maldives Awards continues to recognise the contributions of resort-based hospitality professionals across the Maldives, highlighting both individual excellence and team performance. The awards programme remains the country’s only dedicated recognition platform focused on professionals working in resort operations. The current public voting round allows industry stakeholders, colleagues, guests and the wider public to take part in selecting this year’s winners.
The growing list of confirmed partners for Hotelier Maldives Awards 2026 includes Bestbuy Maldives (BBM) as Title Partner, Dhiraagu as Platinum Partner, Storm Events as Organising Partner, NIVA, Kurumba Maldives as Host Partner, Souvenir Marine as Transport Partner, ALIA as Associate Sponsor, and Lightsout Studios as Associate Partner. More partners and sponsors will be announced soon.
Dusit International, one of Thailand’s leading hotel and property development companies, has announced the opening of Feydhoo Hall, a landmark event venue at dusitD2 Feydhoo Maldives, redefining the possibilities for meetings, celebrations, and destination events in the Maldives.
Designed to bring scale, flexibility, and creativity to island gatherings, Feydhoo Hall represents a bold step forward in positioning the Maldives as a dynamic destination for conferences, weddings, and large-scale social occasions.
Feydhoo Hall offers a versatile event complex designed to accommodate a wide range of gatherings, from corporate meetings and conferences to weddings and social celebrations.
At its core is the 390 sqm Main Hall, capable of hosting:
- Up to 300 guests in theatre-style setup
- Up to 240 guests for dining and banquet-style events
- Up to 200 guests for cocktail-style receptions
- Up to 144 guests in cluster-round configuration
Enhancing the flexibility of the venue are additional dedicated spaces, including:
- A 110 sqm Veranda Terrace, ideal for welcome receptions, breakout sessions, and pre-event gatherings, accommodating up to 100 guests for cocktail-style events.
- A spacious 1,000 sqm Lawn Space, perfect for large-scale outdoor celebrations, destination weddings, and open-air events, accommodating up to 400 guests for cocktail receptions and up to 350 guests for dining setups.
- The 55 sqm Ekugai Meeting Room, designed for smaller meetings and executive sessions, accommodating up to 30 guests in theatre or dining setup and 24 guests in cluster-round format.
Together, these integrated spaces create a seamless indoor-outdoor event experience, allowing planners to design dynamic and personalised event journeys.
True to the dusitD2 brand’s lifestyle-driven philosophy, Feydhoo Hall introduces a fresh approach to meetings and events — where productivity meets creativity in an inspiring island setting.
The venue offers flexible meeting formats designed to suit different event needs, including:
- Half-Day Meeting Package (4 hours) — ideal for focused sessions, executive meetings, and creative workshops.
- Full-Day Meeting Package (8 hours) — designed for immersive conferences, extended workshops, and large-scale corporate gatherings.
These thoughtfully structured packages provide planners with the flexibility to create impactful and seamless experiences, whether hosting intimate strategy sessions or dynamic full-day events.
Located just seven minutes by speedboat from Velana International Airport, dusitD2 Feydhoo Maldives combines accessibility with vibrant lifestyle energy, offering event planners and guests a rare balance between convenience and tropical escape.
With the introduction of Feydhoo Hall, the resort strengthens its position as a versatile destination — not only for leisure travellers but also for international conferences, creative retreats, luxury weddings, and large-scale social celebrations seeking something refreshingly different in the Maldives.
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