MATATO calls for a comprehensive restructuring of the MMPRC SoE model

This call comes as the Maldives heavily relies on tourism for economic growth, especially with the government aiming to increase GDP to USD 12 billion. MATATO's stance is supported by a 2017 report titled "Importance Of Destination Marketing," which emphasized the benefits of enhancing the Maldives' global appeal as a tourist destination. Despite welcoming nearly 1.9 million tourists in 2023 and a reported impressive return on investment (ROI) from tourism-related taxes, MATATO asserts that increased government spending on tourism marketing is crucial for sustaining economic prosperity. 

The association expresses concerns over recent indications from MMPRC suggesting a shift towards self-sufficiency, emphasizing the need for continued government support in destination marketing efforts. MATATO also highlights the lack of industry representation in the MMPRC Board and cautions against proposed fee hikes for travel agents and other tourism stakeholders, emphasizing the importance of a nuanced financial model that acknowledges tourism's economic significance. In order to meet destination targets and remain competitive, MATATO recommends a threefold increase in marketing investment, focusing on targeted advertising campaigns and maintaining focus on long-stay source markets.