THE Maldives is imposing a green tax of US$6 per bed on tourists from November 2015, drawing concern that the country could soon become an overpriced destination.
Tourism minister Ahmed Adheeb told the local media that the new tax is aimed at protecting the Maldives’ fragile environment. “Revenue generated from the tax will go into managing the waste from local resorts and other islands,” he said. Guesthouses will be exempt from this tax.
Resort owners and travel companies have often complained of too much taxation on tourism, which provides the bulk of national revenue.
“The green tax will definitely have an impact. (My Chinese tour operator partners are saying) it is already becoming too expensive to go to the top resorts because of all the service charges and taxes,” noted Shafraz Fazley, managing director of Viluxur Holidays.
In July 2014, an airport exit tax of US$25 per person came into effect. While the Maldives discontinued a US$8 tax per bed per night in November last year, GST rose from eight to 12 per cent that same month.
Michelle Flake from Koamas Luxury Escapes, said the green tax is essentially the return of the bed tax in a different guise. “Have a look at the TripAdvisor Forum… I am sure people are moaning and saying it will be too expensive for them to come soon,” she said.
However, Abdulla Ghiyas, president of the Maldives Association for Travel Agents and Tour Operators, believes there will not be much damage. “When the bed tax was waived in November most of the contracts were already done with US$8 in mind. Thus I don’t think this creates any issues.”
