The Maldives has implemented revised rates for the Airport Departure Tax and Airport Development Fee, effective immediately. The updated rates were approved by Parliament on 31 October as part of a broader government initiative to boost state revenue.
Revised Fees
The new rates include significant increases across all passenger categories:
- Economy Class: Foreign passengers will now pay USD 50, up from USD 30.
- Business Class: Both local and foreign passengers will pay USD 120, up from USD 90.
- First Class: The fee has risen from USD 90 to USD 240.
- Private Jets: Passengers will pay USD 480, up from USD 120.
These changes are part of a broader government initiative to raise revenue, including amendments to the Green Tax and Tourism Goods and Services Tax (TGST).
Green Tax and TGST Hikes Scheduled for 2025
In 2025, the Green Tax will double from USD 3 to USD 6 for guesthouses and from USD 6 to USD 12 for resorts and city hotels. This change is expected to generate an additional MVR 963.6 million in revenue.
The TGST rate, applied under the Goods and Services Tax Act, is set to rise from 16% to 17% starting 1 July 2025, projected to add MVR 4.9 billion to state revenue in the upcoming year.
Revenue-Boosting Measures in Focus
The adjustments are part of the government’s efforts to strengthen fiscal stability amidst rising public debt. The increased levies are expected to make significant contributions to funding public services and development projects, with tourism remaining a critical pillar of the Maldivian economy.
While the increases aim to boost revenue, their impact on the tourism sector remains a key point of discussion among stakeholders. The government continues to emphasize the need for sustainable revenue streams to support long-term economic growth.
