Diplomatic Tensions Affect Indian Tourism Flow to Maldives

Last Updated on March 10, 2024 4:43 am

The Maldives has witnessed a significant decline in Indian tourist arrivals, with a notable 33 percent drop compared to the previous year, according to data released by the Maldives Tourism Ministry. This decline coincides with escalating diplomatic tensions between New Delhi and Male.

Statistics from the Tourism Ministry for the year 2023 reveal that by March 4 last year, 41,054 Indian tourists had visited the Maldives. However, as of March 2 this year, the number of Indian tourists stood at 27,224, marking a decrease of 13,830 visitors compared to the same period last year.

India, which was previously the second-largest source market for tourists to the Maldives with a 10 percent market share, has now slipped to sixth place, holding a six percent market share.

The diplomatic rift was sparked by derogatory comments made by three Maldivian deputy ministers against Indian Prime Minister Narendra Modi, following his remarks about the development of Lakshadweep as a beach tourism destination. The controversy escalated into a major diplomatic standoff, prompting New Delhi to summon the Maldivian envoy and lodge a strong protest against the offensive posts.

The three deputy ministers involved in the incident were suspended, remaining under suspension with pay as of the latest update.

Earlier this year, concerns were raised within the Maldives tourism industry as the boycott campaign gained momentum in India, supported by prominent Indian film stars. The Maldives Association of Travel Agents and Tour Operators (MATATO) conducted a survey to assess the impact of booking cancellations by Indian guests, although the findings have not been publicly disclosed.

While India has historically been the primary tourist market for the Maldives, with over 200,000 tourists annually, China has emerged as the leading market, recording more than 54,000 tourist arrivals so far this year. The decline in Indian tourist arrivals underscores the tangible effects of diplomatic tensions on the tourism sector, prompting stakeholders to closely monitor the evolving situation and its potential long-term ramifications.

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