Tourism Day Special Supplement issued by the Maldives Tourism Ministry has indicated that Maldives may surpass 2 million tourist arrivals by the end of 2024. On 27th June the Maldives marked the arrival of 1 million tourists with a special celebration at the airport. By August the numbers climbed to 1.2 million as indicated in the Tourism Day supplement. This brings 10.2% growth over the previous year and China holds the position of top market with 13.6% of total arrivals. Other top markets such as the UK, Russia and Italy are also significant.

Tourism is the main economic activity in the Maldives. In 2020 it was drastically impacted by Covid19 pandemic and the government introduced relief programs for resort owners to defer land taxes and introduced many aid packages for citizens that lasted for years until the recovery of the tourism sector. Most of the aid schemes were financed by loans. These factors may have preserved the tourism product, instead of leading businesses to bankruptcy.

The new president of Maldives Dr. Mohamed Muizzu sworn in took office last year and appointed Mr. Ibrahim Faisal as the tourism minister. Local press states that the tourism minister has recently mentioned increased tourism arrivals up to 4 million annually by 2028. This means doubling the visitor country in just 4 years. But, the question remains if this could be achieved.

A new terminal has been in development in Velana International Airport for a few years and most of the exterior works have been completed. On different occasions, government officials had mentioned that this terminal would be capable of serving up to 7 million passengers annually. The existing terminal is more than 30 years old and was built to serve around 700,000 passengers and it is currently going over its capability. The building of the new terminal suggests that Maldives is taking bold steps towards its tourism targets. While the aimed 4 million passengers by 2028 still leaves almost half the capacity unutilized. Maldives may have predicted tremendous growth over the years.

In 2018 the Maldives Airports Company Ltd (MACL) inaugurated the new runway which measures 3400 metres in length and 60 metres in width. This allows Airbus A380 to land and take off easily at Male airport. The old runway is currently converted to a taxiway, enabling more than twice for traffic to serve increased demand.

Over the last 50 years, Maldives largely offered luxury tourism. But, in the last decade, the country has diversified its product by introducing budget tourism in local islands where affordable holidays can be enjoyed alongside local residents living next door. This was a major change for the island nation. Prior to that, the country was offering only resort islands. The introduction of budget-friendly tourism did not affect high-end tourism, it just opened a different chapter alongside a different market.

The boating industry also represents a significant proportion. Tourists can book a week on a boat that cruises among the atolls and islands while stopping for diving or surfing. Superyachts and passenger lines are found to be common in all seasons.

A message by Mohamed Munsif Rushdi, the Deputy Minister Of Tourism, states that the country currently has 182 resorts in operation along with 795 guesthouses offering budget tourism.

Mohamed Umar Manik, one of the pioneers who introduced tourists to the Maldives, states the importance of the "tourism and peace" theme assigned by the United Nation's tourism body. It references the involvement of the local population in resolving issues in industry growth and challenges. The pioneer further states that Maldives has always remained peaceful for tourists from all corners of the globe.

Sri Lanka is situated just 983 km from the Maldives, or 90 minutes by flight. One of the world’s most popular luxury holiday destinations being located next to Sri Lanka gives immense opportunities. Especially when Sri Lanka offers different attractions that the Maldives lacks. There is no wildlife experience offered in the Maldives, they also do not have high lands and mountains. The core elements they are selling are “sun, sand and sea” that are made luxurious and appealing.

Taking advantage of these factors, there are travel agents who sell combined packages such as “5 nights in Maldives, 2 nights in Sri Lanka”. A destination that is well-established as a brand may have more demand. Therefore, travel agents may find it easier to sell packages with most days on sunny islands and a few nights on the way back to get some wildlife exposure. Wildlife in a domesticated environment could be an area of exploration to further enhance the tourism product of Sri Lanka. Increased tourist arrival and increased stay period need creativity, clever marketing and brand establishment.

The World Bank recently stated that Sri Lanka is becoming more stable, by the end of 2024 the country will achieve economic growth of 4.4%. This number is higher than their previous estimates. This would be the first year of growth since the great decline in 2022. The World Bank highlights the growth of the tourism sector as well as industrial activities. The global financial body also predicts an annual growth of 3.5% in the year 2025.