Maldives economy rebounds to 70% of pre-pandemic levels

Maldives economy rebounds to 70% of pre-pandemic levels as tourists return to the archipelago’s paradise white-sanded beaches

  • The Maldives has 1,192 tiny coral islets scattered 500 miles across the equator
  • Tourists are ferried by boat or seaplane to secluded resort islands 
  • The Maldives attracted a record 1.7million foreign tourists in 2019 

The Maldives is seeing a strong economic recovery after being one of the first countries to reopen its borders to tourists, an international ratings agency said as it upgraded the country’s credit score.

The country reopened its borders last July and was able to keep foreign holidaymakers flocking to its white-sanded beaches away from the local population of 340,000.

The Maldives has 1,192 tiny coral islets scattered some 800 kilometres (500 miles) across the equator and dedicated tourist resorts are separated from inhabited islands.

The Maldives is seeing a strong economic recovery after being one of the first countries to reopen its borders to tourists

Tourists arriving at its international airport are ferried by boat or seaplane to secluded resort islands.

Fitch Ratings, upgrading the country’s credit rating to B-, said tourism had rebounded to around 70 per cent of pre-pandemic levels so far this year.

‘We assume a gradual further normalisation of tourist arrivals to over 80 per cent of pre-pandemic levels in 2022 and to around 100 per cent in 2023,’ Fitch said.

The Maldives attracted a record 1.7million foreign tourists in 2019, a 15 per cent increase from the previous year, according to the government, with China the biggest source of visitors.

The country reopened its borders last July and was able to keep foreign holidaymakers flocking to its white-sanded beaches away from the local population of 340,000

The country has fully vaccinated its resort staff against Covid-19. It has suffered 243 virus deaths out of some 87,487 infections

Its economy is expected to expand by almost a third this year and 10 per cent in 2022 after a 33.5 per cent contraction last year, one of the sharpest drops globally, Fitch said.

‘The development of a new terminal at the main international airport, in particular, should allow for a significant increase in the number of tourists over the coming years, while new resorts are also being built,’ the rating agency said.

The country has fully vaccinated its resort staff against Covid-19. It has suffered 243 virus deaths out of some 87,487 infections.

Fitch’s upgrade came after rival firm Moody’s downgraded neighbouring Sri Lanka by a notch as the island nation faced a serious foreign exchange shortage.

The two countries have close tourism and trade links. 

Source: Read Full Article

Previous post Stevie Nicks and Christine McVie Share an Emotional Moment Together After Every Fleetwood Mac Show
Next post UK gas shortage fears as 150mph ‘Arctic air’ could plunge Britain into freezing crisis