What steps should the government and industry take to make the Southern Maldives a viable and consistently operational destination for airlines?

PUBLISHED May 10, 2025

Ahmed Arshad
Director
Avia Maldives
The topic of southern tourism and our aspirations for a more balanced distribution of tourism development have been ongoing for over a decade. It is now time to reassess previous strategies and restart efforts with a fresh approach. What we need is a targeted subsidy program for at least two to three years to stimulate growth in these lesser-explored regions. Additionally, we should reevaluate the departure tax per person in these areas to incentivize airlines and operators to explore and expand services to the south. If airlines are able to operate multi-sector flights within the Maldives easily, it would be a significant advantage. I’m not referring to simply transporting passengers from Point A to Point B within the country; rather, I mean that if an airline, such as X Airlines from Dubai, could efficiently offer multi-sector routes—e.g., some passengers traveling to VRMM and others to VRMG it would greatly enhance operational flexibility and attractiveness for airlines. Investing in infrastructure, such as establishing a seaplane base in the southern Maldives, is crucial—whether through government subsidies or as a Public-Private Partnership (PPP). Enhancing accessibility and increasing bed inventory will make the south more attractive to airlines and tourists. Furthermore, I propose allocating a small percentage of the tax revenue generated from south tourism to support marketing efforts. This fund could be used to co-market the region in collaboration with Visit Maldives, helping to boost visibility and tourist influx. South Maldives offers unique attractions, including Fuvahmulah Shark Diving, Mud Baths, Addu Nature Park, the Royal Sunken Navy Dive Site, and additional resort beds across Addu Atoll, Gaaf Dhaal, and Gaaf Alif. With targeted initiatives, I believe achieving significant growth in southern tourism is not only possible but well within reach.
To successfully attract new international airlines to GAN, particularly those connecting key Middle Eastern hubs such as Dubai, Doha, and Abu Dhabi, as well as regional carriers like Batik and AirAsia, financial incentives are essential. These may include discounted landing fees, fuel charges, and parking rates. Route development incentives—such as those previously used to establish the GANCMB route via UL, which offered full waivers on all costs except fuel—can be a proven model. Additional incentives could include discounts on airport charges, property rental, and taxation; direct payments per flight or passenger, including marketing support; and risk-sharing arrangements like revenue guarantees or joint ventures. These efforts aim to enhance international connectivity, especially to southern resorts and domestic destinations, improve regional competitiveness, attract inward investment, and boost inbound tourism. To realize these goals, AIA requires full government support, along with the formulation and implementation of enabling policies. Supporting initiatives include the development of properties on Gan Island, investment in guesthouses and support services in Addu, and ensuring operational status of key resorts such as Shangri-La, South Palm, and Canareef.