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Maldives projects 2020 tax revenues to fall by 48 per cent

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Tax revenues are expected to see a year-over-year drop of at least 48 per cent this year due to a fall in tourism receipts, the Maldives tax body announced Wednesday.

Maldives Inland Revenue Authority (MIRA) chief Fathuhulla Jameel told reporters that his officials had formulated and shared with the government five scenarios on the possible impact on tax revenues.

The most likely scenario estimates tax revenues to stand at MVR 8.95 billion ($579 million) against budget projections of MVR 17.9 billion ($1.2 billion) for the year. In the worst case, tax revenues may fall to as low as MVR 6.62 billion ($428.5 million).

“Revenues collected through MIRA has decreased significantly over the past three months,” Jameel said.

“This is because of the halt in both tourism and other economic activities.”

Figures show MIRA collected MVR 527.47 million ($34.1 million) as revenue in April — a 59.5 per cent drop from the MVR 1.3 billion ($84.1 million) in April 2019.

The announcement by MIRA comes as the Maldives prepares to reopen its borders to tourists in July.

The coronavirus outbreak has hit the Maldivian economy hard, as travel restrictions and other preventive measures affect the country’s lucrative tourism industry, which contributes the bulk of the island nation’s state revenue and foreign reserves.

Before the pandemic, the government had been bullish about tourism prospects, targeting two million, high-spending holidaymakers this year after last year’s record 1.7 million.

However, tourist arrivals saw a year-over-year decline of 22.8 per cent in the first 10 days of March. Officials say the number of tourist arrivals to the Maldives could drop by half in 2020.

All international airlines have suspended scheduled operations to the Maldives, as the island nation enforced a blanket suspension of on-arrival visa in late March in a bid to combat the spread of the novel coronavirus.

Even before the visa suspension, the Maldives had closed its borders to arrivals from some of the worst-hit countries, including mainland China, Italy, Bangladesh, Iran, Spain, the United Kingdom, Malaysia and Sri Lanka. Visitors from three regions of Germany (Bavaria, North Rhine-Westphalia and Baden-Württemberg), two regions of France (Île-de-France and Grand Est) and two regions of South Korea were also banned from entering the country.

All direct flights to and from China, Italy, South Korea and Iran were also cancelled.

Cruise ships and foreign yachts were also banned from docking at any of the country’s ports.

With arrival numbers falling and the visa suspension in effect, several resorts across the Maldives had been closed.

Tourism has been the bedrock of the Maldives’ economic success. The $5 billion-dollar economy grew by 6.7 per cent in 2018 with tourism generating 60 per cent of foreign income.

However, the government is at present projecting a possible 13 per cent economic contraction this year — an estimated $778 million hit.

The government is in talks with bilateral lenders and international financial institutions to procure some $290 million in loans and financial aid.

In the meantime, the government will borrow MVR 4.2 billion ($272 million) under an overdraft facility at the central bank to cover state expenses and maintain public services amidst the coronavirus pandemic.

The government had also announced plans to shave MVR 5 billion ($324 million) off state expenditure and reduce the total state expenditure for the year to MVR 30 billion ($1.944 billion) from the approved MVR 38.7 billion ($2.5 billion).

Austerity measures include a 20 per cent cut on salaries and allowances of all political appointees, 25-35 per cent cuts on salaries and allowances of public sector employees, and 30-70 per cent cuts across travel, training, renovations and capital equipment budgets.

On March 8, Maldives reported its first cases of the novel coronavirus, as two hotel employees tested positive for Covid-19 at a luxury resort in the archipelago.

Eighteen more cases — all foreigners working or staying resorts and liveaboard vessels except five Maldivians who had returned from abroad — were later identified.

A six-case cluster of locals, detected in capital Male on April 15, confirmed community transmission of the coronavirus. Several more clusters have since been identified, bringing the total number of confirmed case in the Maldives to 1,457.

Five deaths have been reported and 232 have made full recoveries.

The Maldives announced a state of public health emergency on March 12, the first such declaration under a recent public health protection law.

The public health emergency declaration has allowed the government to introduce a series of unprecedented restrictive and social distancing measures, including stay-at-home orders in capital Male and its suburbs, a ban on inter-island transport and public gatherings across the country, and a nationwide closing of government offices, schools, colleges and universities.

Non-essential services and public places in the capital such as gyms, cinemas and parks have also been shut.

Restaurants and cafes in the capital have been asked to stop dine-in service and switch to takeaway and delivery.

A nationwide shutdown of all guesthouses, city hotels and spa facilities located on inhabited islands is also in effect.

Photo: Sun Online

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Sun Siyam Resorts marks Valentine’s season with multi-resort celebrations

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Sun Siyam Resorts is inviting couples to celebrate Valentine’s season across its collection of Maldivian island resorts, with each destination offering a distinct rhythm and character. From unhurried island experiences to celebrations shaped by nature and shared moments, the programme presents couples with a range of intimate ways to reconnect in settings designed to feel personal and considered.

At Sun Siyam Iru Fushi, Valentine’s celebrations will take place from 12 to 14 February, unfolding through a series of tailored experiences focused on togetherness. The programme includes floating breakfasts, sunset moments in private pool villas, secluded island picnics and snorkelling excursions. Evenings feature experiences such as Cinema by Moonlight on the water, live DJ sessions and couple-focused spa rituals, creating a balance between relaxed romance and private time.

From 11 to 14 February, Sun Siyam Iru Veli will present a Valentine’s programme centred on candle-lit dining, beachfront gatherings and personalised experiences across lagoon and sandbank locations. Live performances by Maldivian saxophonist Shahy Siraj will accompany sunsets and evening celebrations, offering couples a setting designed to feel relaxed and timeless.

Throughout February, Sun Siyam Vilu Reef will host a month-long Valentine’s journey inspired by coastal tones and slower-paced island living. The programme includes outdoor dining experiences, sunset performances, beachside theatre and personalised couple activities across dining, spa and excursions, inviting guests to engage with a more extended celebration of the season.

At Siyam World, Valentine’s Day on 13 and 14 February will be marked by a more expressive programme where romance is paired with music, performances and island-wide dining experiences. The celebrations culminate in a signature Valentine’s show, presenting a high-energy approach to the occasion.

From 13 to 20 February, Sun Siyam Olhuveli will offer a week-long Valentine’s escape focused on shared experiences, food and island life. The programme includes evening performances by DJ Slim Belghith and a culinary residency by Italian chef Francesca Gambacorta, alongside beachfront dining, wellness experiences and activities designed for couples to spend time together at a relaxed pace.

Across the Sun Siyam portfolio in the Maldives, Valentine’s season is defined by time spent together through shared meals, music, unhurried days and the natural island setting. Couples are invited to explore seasonal offers and programmes across the collection via the Sun Siyam Resorts website.

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Ifuru Island Maldives presents intimate Valentine’s escape for couples

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Ifuru Island Maldives has unveiled A Valentine’s Escape, Curated for Two, a Valentine’s season programme featuring a collection of experiences designed for couples seeking connection in a private island setting shaped by natural surroundings and a restrained approach to luxury.

Central to the offering are romantic beach dinners held under the night sky, alongside an exclusive private dining experience at the resort’s Secret Spot. This secluded location is reserved for couples seeking privacy and is available by prior arrangement. Each dining experience is curated by the culinary team and includes bespoke menus, candlelit table settings and personalised service.

For couples wishing to spend time on the water, the resort is introducing a private romantic yacht charter in collaboration with Blend. The experience offers a quiet journey across the lagoon and open waters, with curated refreshments and uninterrupted sunset views. Designed for a limited number of couples, the charter is positioned for occasions such as proposals, anniversaries and Valentine’s celebrations.

Wellness experiences form an additional element of the Valentine’s programme. Couples can book a dedicated spa package focused on shared relaxation rituals in a calm setting. For guests interested in mindfulness, a guided meditation and bonding session led by visiting practitioner Dr. Sha is available on selected dates, offering an opportunity for reflection and balance within the island environment.

Through private dining, ocean-based experiences, spa rituals and mindful moments, A Valentine’s Escape, Curated for Two presents couples with the opportunity to celebrate Valentine’s season in a manner that is personal, unhurried and considered.

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Atmosphere Core earns triple honours at Layalina Editor’s Choice Awards

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Atmosphere Core concluded 2025 with a strong industry showing, securing three major honours at the Layalina Editor’s Choice Awards 2025 for RAAYA by Atmosphere, Atmosphere Kanifushi Maldives and OBLU XPERIENCE Ailafushi. The accolades underscore the group’s ability to deliver clearly differentiated resort concepts for diverse traveller profiles, while maintaining a consistent emphasis on quality, comfort and guest satisfaction across its portfolio.

At the awards, RAAYA by Atmosphere was named Best New Luxury Resort of the Year – Maldives. Atmosphere Kanifushi Maldives received the title of Best All-Inclusive Luxury Resort, while OBLU XPERIENCE Ailafushi was recognised as Most Stylish Resort – Maldives. The honours are based on Layalina’s independent editorial assessment and established quality benchmarks, celebrating excellence across luxury hospitality, all-inclusive offerings and lifestyle-led design. Layalina is a leading Arab lifestyle publication under 7awi Media Group, with a strong readership and influence across the GCC and wider region.

Collectively, the awards highlight Atmosphere Core’s understanding of evolving travel expectations, delivering experiences that are thoughtful, well-crafted and easy to enjoy, whether guests are seeking tranquillity, variety or social energy.

Each of the recognised resorts brings a distinct identity to the group’s Maldivian portfolio. RAAYA by Atmosphere, located in the Raa Atoll, is defined by its serene environment and castaway-artist concept, encouraging guests to slow down and reconnect through nature, creativity and adventure. Atmosphere Kanifushi continues to stand out for its scale and consistency, offering a generous all-inclusive experience through the Kanifushi Plan™, expansive villas and a long, natural island setting that appeals to both families and couples. In contrast, OBLU XPERIENCE Ailafushi delivers a more dynamic island escape, characterised by contemporary design and a lively social atmosphere that resonates with travellers drawn to shared spaces, movement and modern aesthetics. Together, the accolades reflect a carefully curated portfolio designed to cater to a wide spectrum of travel moods and preferences.

Commenting on the achievement, Ashwin Handa, Chief Operating Officer of Atmosphere Core, said the group was honoured to receive the Layalina Editor’s Choice Awards 2025, recognising the three resorts across distinct categories. He noted that the recognition reflects the company’s carefully curated experiences, shaped by a strong sense of product, space and genuine care, and credited the passion and commitment of the teams, as well as the continued trust of guests, for the achievement.

Central to these successes is Atmosphere Core’s philosophy of the Joy of Giving, which positions hospitality around care, generosity and attention to detail. This approach informs destinations that feel closely connected to their natural surroundings and supports bespoke experiences that anticipate guest needs. The result, the group says, is a style of hospitality that is welcoming, effortless and personal, creating meaningful moments that endure beyond the stay itself.

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