Maldives Records Strong Growth in Green Tax Revenue as Tourism Momentum Continues in 2026

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Green tax revenue in the Maldives rose by 39 per cent during the first three months of 2026, reflecting the continued strength of the country’s tourism sector and the growing contribution of visitor-based revenue to national environmental priorities. According to figures released by the Maldives Inland Revenue Authority, total green tax collections reached USD 47.54 million between January and March this year, up from USD 34.15 million recorded during the same period in 2025.

The increase highlights both the resilience of the Maldivian tourism industry and the expanding scale of visitor activity across the country’s resort islands, hotels, guesthouses and tourist vessels. As one of the world’s most sought-after island destinations, the Maldives continues to attract strong international demand, supported by its distinctive combination of natural beauty, premium hospitality, marine experiences and high-value resort offerings. The growth in green tax revenue also points to the important role that tourism continues to play in supporting wider national development objectives beyond direct industry earnings.

Introduced in October 2016, the green tax was established as a mechanism to ensure that tourism contributes directly to environmental sustainability efforts in the Maldives. The tax is levied on tourists staying at resorts, hotels, guesthouses and aboard tourist vessels, while children under the age of two are exempt. The revenue generated has become an important source of support for projects aimed at preserving the fragile island environment and improving essential infrastructure across the country.

The rise in collections has also been supported by revised green tax rates that came into effect on 1 January 2025. Under the updated structure, the fee for higher-end tourist establishments was increased from USD 6 to USD 12, while the rate for other categories was raised from USD 3 to USD 6. The revised framework has strengthened revenue generation while aligning tourism contributions more closely with the environmental needs of a nation whose economy and way of life are deeply connected to the natural environment.

Funds raised through the green tax are being channelled into a broad range of environmental initiatives across the Maldives. These include coastal protection programmes, waste management systems, environmental clean-up efforts, and the development of water and sewerage infrastructure on islands. Such investments are particularly significant for a low-lying island nation where environmental resilience, sustainable waste disposal and climate adaptation remain central to long-term national planning.

The latest revenue figures come alongside continued growth in tourist arrivals, with more than 700,000 visitors recorded so far this year. This sustained rise in arrivals has reinforced confidence in the Maldives’ tourism outlook for 2026 and underscores the enduring appeal of the destination in competitive global travel markets. For the country’s resort sector in particular, the growth in visitor numbers reflects ongoing demand for luxury island experiences, world-class hospitality and environmentally conscious travel in one of the world’s premier beach destinations.

With tourism maintaining strong momentum and green tax revenue continuing to expand, the Maldives is further strengthening the link between economic performance and environmental stewardship. The latest figures present a positive picture for the country, demonstrating how growth in the tourism and resort industry can also support practical investment in sustainability, resilience and the protection of the natural assets that make the Maldives unique.

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