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Coronavirus will cost global tourism at least $1.2 trillion, UN agency warns
The world’s tourism sector could lose at least $1.2 trillion, or 1.5 per cent of the global gross domestic product (GDP), having been placed at a standstill for nearly four months due to the coronavirus pandemic, according to a report Wednesday from the United Nations Conference on Trade and Development.
The UNCTAD warned that the loss could rise to $2.2 trillion or 2.8 per cent of the world’s GDP if the break in international tourism lasts for eight months, in line with the expected decline in tourism as projected by the UN World Tourism Organisation (UNWTO).
UNCTAD estimates losses in the most pessimistic scenario, a 12-month break in international tourism, at $3.3 trillion or 4.2 per cent of global GDP.
Tourism is a backbone of many countries’ economies and a lifeline for millions of people around the world, having more than tripled in value from $490 billion to $1.6 trillion in the last 20 years, according to UNWTO.
But Covid-19 has brought it to a halt, causing severe economic consequences globally.
Prevailing lockdown measures in some countries, travel restrictions, reductions in consumers’ disposable income and low confidence levels could significantly slow down the sector’s recovery.
Even as tourism slowly restarts in an increasing number of countries, it remains at a standstill in many nations.
“These numbers are a clear reminder of something we often seem to forget: the economic importance of the sector and its role as a lifeline for millions of people all around the world,” UNCTAD’s director of international trade Pamela Coke-Hamilton was quoted in a statement, as saying.
“For many countries, like the small island developing states, a collapse in tourism means a collapse in their development prospects. This is not something we can afford.”
Developing countries could suffer the steepest GDP losses.
Jamaica and Thailand stand out, losing 11 per cent and 9 per cent of GDP respectively in the most optimistic scenario of UNCTAD’s estimates. Other tourism hotspots such as Kenya, Egypt and Malaysia could lose over three per cent of their GDP.
But the tourism sector in many rich nations will also feel the squeeze.
Popular European and North American destinations, including France, Greece, Italy, Portugal, Spain and the United States could lose billions of dollars due to the dramatic drop in international tourism, according to UNCTAD forecasts.
Impact on other sectors, jobs and wages
Travel and tourism account for a significant share of global GDP and more than half of many countries’ national income.
Coronavirus-induced losses in tourism have a knock-on effect on other economic sectors that supply the goods and services travellers seek while on vacation, such as food, beverages and entertainment.
UNCTAD estimates that for every $1 million lost in international tourism revenue, a country’s national income could decline by $2 million to $3 million.
The massive fall in tourist arrivals has also left a growing number of skilled and unskilled workers unemployed or with less income.
UNCTAD estimates show that in the worst-affected countries, such as Thailand, Jamaica and Croatia, employment for unskilled workers could decrease at double-digit rates even in the most moderate scenario.
In the case of wages for skilled workers, the steepest drops could be seen in Thailand (-12 per cent), Jamaica (-11 per cent) and Croatia (-nine per cent), in the optimistic case, doubling or tripling in the worst scenario.
The effects could be particularly negative for women, who are expected to be disproportionately affected by layoffs in tourism due to Covid-19, according to the report.
Women are more likely than men to be entrepreneurs in tourism and make up about 54 per cent of the workers in the accommodation and food services sectors.
And because many women in the sector work informally in low-skilled jobs, they are less likely to have unemployment benefits or other safety nets.
“This is why women are particularly hard hit in this crisis. And this is why policies that help protect the sector also protect the economic empowerment that many of these women have long fought for,” Coke-Hamilton said.
Maldives continues to suffer
The UNCTAD report shows that inbound tourism accounts for 58 per cent of the Maldives GDP.
The report, however, does not specify the impact of Covid-19 on Maldives tourism and its economy.
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, only 382,760 tourists visited the Maldives before the country closed its borders on March 27. It was a 40.8 per cent decline over the 646,092 that visited the Maldives from January to March last year.
With arrival numbers falling, several resorts across the Maldives suspended operations.
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.
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 2,382.
Ten deaths have been reported and 1,954 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 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 were also shut.
Restaurants and cafes in the capital were 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 was also ordered.
These measures allowed authorities to contain the outbreak.
The restrictions are now being eased in phases, with the third phase kicking in from Wednesday.
The Maldives is also preparing to reopen its borders on July 15.
Recovery support needed
UNCTAD calls for strengthened social protection in the affected nations to prevent the worst economic hardship for people and communities that depend on tourism.
It urges governments to protect workers. Where some enterprises are unlikely to recover, wage subsidies should be designed to help workers move to new industries.
Governments should also assist tourism enterprises facing the risk of bankruptcy, such as hotels and airlines. One approach for financial relief is low-interest loans or grants, the report states.
In addition, UNCTAD calls on the international community to support access to funding for the hardest-hit countries.
Cover photo: Mihaaru News
In August 2025, SSI, the world’s leading business-based dive training agency, embarked on an ambitious multi-week video shoot at Le Méridien Maldives Resort & Spa in partnership with Sub Oceanic Maldives. The large-scale production will deliver a series of updated, high-quality training videos, lifestyle visuals and brand content to be shared with divers and dive professionals across the globe. More than a filming project, the initiative represents a strategic alliance between luxury hospitality, elite dive training and professional media production, with the aim of promoting diversity in the diving community and elevating how dive education is delivered worldwide.
Situated in the pristine Lhaviyani Atoll, Le Méridien Maldives Resort & Spa offers an eco-conscious island sanctuary surrounded by 50 world-class dive sites. Its vibrant reefs and diverse marine life made it the ideal choice for SSI’s latest production. The partnership also reflects a shared commitment to marine education and exceptional guest experiences. General Manager Thomas Schult expressed pride in hosting the project, noting the resort’s thriving reef ecosystem as a perfect setting for professional dive content and for guests seeking to explore the underwater world.
Le Méridien’s alignment with SSI’s values of ocean conservation, marine education and engaging dive programmes strengthened its appeal as a partner. Guests are able to immerse themselves in the marine environment through curated diving and snorkelling activities offered by Sub Oceanic Maldives, the on-site SSI Training Center.
At the heart of the collaboration is Sub Oceanic Maldives, known for its professionalism, expertise and enriching guest experiences. The team has been instrumental in coordinating logistics, selecting locations, managing safety and assisting with underwater filming. Head of Operations Florian Gansl spoke warmly of the project, joking that the abundance of turtles on the resort’s house reef might frequently wander into shots. Two Sub Oceanic instructors, Alejandro Embid Ruiz de Conejo and Chun-Ping “Pyng” Lin, are also featured in the production, bringing local insight and technical expertise to the screen.
Earlier this year, SSI held a global casting call for instructors worldwide, receiving an overwhelming response. Six professionals were selected for their diving expertise, skill in demonstrating techniques and ability to inspire others while representing diverse ages, backgrounds and genders. The cast includes Alejandro Embid (Spain), Kornel Toth (Hungary), Gordos Mateo Gojunco (Philippines), Sita Angela Jaekel (Indonesia), Chun-Ping “Pyng” Lin (Taiwan) and Jacinta Kimani (Kenya), each bringing unique experience and cultural perspective to the project.
The shoot focuses on three main content areas: detailed skill demonstration videos to enhance SSI’s training materials, authentic diving footage showcasing the Maldives’ reefs and marine life, and lifestyle content capturing the complete dive travel experience, from preparation to post-dive relaxation. Behind-the-scenes moments are also being documented for future release, offering a glimpse into the teamwork, planning and passion behind the production.
More than a visual refresh, this initiative forms part of SSI’s long-term strategy to modernise dive education and provide its global professional network with engaging, up-to-date resources. The partnership between SSI, Le Méridien Maldives Resort & Spa and Sub Oceanic Maldives exemplifies how world-class training, hospitality and dive operations can combine to promote eco-conscious travel, marine education and inspiring storytelling, encouraging the next generation of divers.
A magical scene is unfolding at Alila Kothaifaru Maldives, as the island becomes a nurturing ground for the next generation of marine life — sea turtle hatchlings. With four active nests currently incubating, guests and marine enthusiasts alike are eagerly anticipating the emergence of these tiny creatures, expected to align with the next full moon.
Following a recent successful hatching, the remaining three nests have been identified as belonging to Green Sea Turtles — one of the largest sea turtle species inhabiting tropical and subtropical waters. Renowned for their smooth, heart-shaped carapaces and their herbivorous diet of seagrass and algae, these gentle marine giants play a vital role in sustaining healthy coral reefs and marine ecosystems. One additional nest is believed to belong to a Hawksbill turtle, although this has yet to be confirmed.
“Sea turtles are fascinating creatures. They lead largely solitary lives and migrate thousands of kilometres between their feeding and nesting grounds,” explains Fernanda Cortina Escalante, the resort’s resident Marine Biologist. “It’s incredibly special to witness this phase of their life cycle so closely here on our island.”
Turtle reproduction is an intricate and delicate process. These ancient mariners return to the very shores on which they were born to lay their eggs, usually under the cover of darkness. Female turtles dig nests in the sand, where the eggs incubate for 45 to 70 days before the hatchlings instinctively head towards the sea.
Green Sea Turtles can live between 60 and 80 years, grow up to 1.5 metres in length, and weigh as much as 300 kilograms. Their remarkable physiology allows them to hold their breath for up to five hours while resting, an impressive adaptation to life in the ocean.
“Hosting these nests provides us with a unique opportunity to educate guests about sea turtle conservation and promote greater awareness of marine biodiversity,” says Camille Berger, Euro-Divers Manager at Alila Kothaifaru Maldives. “We feel fortunate to share this meaningful experience with guests from across the globe.”
The resort places a strong emphasis on conservation, working closely with its in-house marine biologist to monitor and protect the nesting sites.
“A new generation of sea turtles has officially embarked on its journey into the ocean, with 61 tiny hatchlings recently making their way from nest to sea,” shares Thomas Weber, General Manager of Alila Kothaifaru Maldives.
“Moments like these remind us of both the beauty of nature and the responsibility we bear in preserving this extraordinary ecosystem. It is a true honour to be part of the journey of these magnificent creatures.”
Guests staying at the resort may have the rare opportunity to witness a live hatching — an unforgettable experience of nature at its most raw and awe-inspiring.
This festive season, Nova Maldives is set to welcome travellers with ‘Maldivian Magic – A Festive Fusion,’ a curated programme running from 21 December 2025 to 7 January 2026. Rooted in over 2,500 years of Maldivian heritage, the soulful celebration draws inspiration from the nation’s seafaring past, storytelling traditions, and rituals centred on joy and connection.
The festive itinerary invites guests to immerse themselves in enriching experiences that blend the serenity of the sea with vibrant seasonal celebrations. Morning adventures include Ocean Glides with Koamas—a thrilling jet ski excursion to encounter dolphin pods in their natural habitat—and snorkelling trips to observe whale sharks and manta rays in their graceful element. Those seeking a more tranquil experience may embark on a Private Catamaran Sunset Cruise, ideal for couples or friends, offering unhurried sails across turquoise waters under golden skies.
Evenings present further marine exploration, with night snorkelling sessions offering glimpses of nocturnal marine life—baby reef sharks, crustaceans, and colourful reef fish—bringing the quiet enchantment of the ocean to life after dark.
Gastronomy plays a central role in the celebrations, with a culinary theme titled “Taste of the Atolls.” At Wink Bar each afternoon, guests may join Elixirs of the Isles—a creative mixology class using local fruits and botanicals. Mizu, the resort’s overwater teppanyaki venue, hosts an Ocean Umami dinner experience that combines Japanese precision with Maldivian flavours. Meanwhile, FLAMES offers a Maldivian Fishermen’s Feast—a beachside seafood extravaganza accompanied by bubbles and live island music.
Adding a cultural touch to the culinary journey is Malaafaiy Keyn, a seasonal dining experience showcasing traditional Maldivian cuisine. Served on a handcrafted malaafaiy platter, the dish includes fragrant rice, spiced curries, and heritage side dishes, all enjoyed in a bespoke Mauloodh Haruge dining hall—creating a bridge between the past and present.
For guests seeking serenity, the Private Finolhu Sandbank Escape provides an opportunity to retreat to a white-sand islet. Here, chilled Prosecco, curated canapés, and the gentle rhythm of waves set the tone for a tranquil afternoon, perfect for individuals, couples, or anyone wishing to recharge.
At EsKape Spa, seasonal wellness offerings include the Kaashi Naashi Ritual, a rejuvenating treatment using coconut oil and shells, concluding with a soothing head massage. Also available is the Soulful Healing through Dhivehi Beys—a restorative oil massage incorporating local herbs, spices, and virgin coconut oil, drawing on ancestral knowledge and therapeutic practices to harmonise body and spirit.
The celebration begins with the Grand Christmas Tree Lighting, a starlit gathering filled with carols and island traditions. On Christmas Eve, guests are treated to a fire show and beach party, followed by a Gala Dinner featuring both Maldivian specialities and festive classics. Christmas morning sees Santa Claus arriving at Wink Beach, met with handcrafted cocktails and sweet treats to delight guests of all ages.
The New Year’s Eve festivities conclude the season in spectacular fashion, with a fireworks display and an evening of live music, DJ performances, and festive cocktails. On New Year’s Day, guests are invited to ease into 2026 with the First Brunch of ’26—a leisurely affair featuring live cooking stations and flavourful dishes in a sunlit, relaxed setting.
“Our festive offerings go beyond seasonal cheer,” says Abdulla Aboobakuru, General Manager at Nova Maldives. “They embody the island’s rich cultural heritage, creating immersive moments of joy, tradition, and meaningful connection.”
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