The Maldives Monetary Authority (MMA) has reported solid economic growth in the second quarter of 2025, highlighting strong performances across key sectors including tourism, fisheries, and construction. The findings, published in the latest Maldives Economic Update – Q2 2025, underline the nation’s continued resilience and steady recovery amid global economic uncertainty.
According to the report, tourist arrivals reached 475,708 during the April–June period, a 16 percent increase compared to the same quarter last year. By June, total arrivals surpassed the one-million mark—achieved faster than in any previous year. China emerged as the largest source market, followed by Russia and the United Kingdom, while Europe maintained its position as the leading regional contributor.
The fisheries sector recorded exceptional performance, with total fish purchases rising by 101 percent, driven by a 133 percent surge in skipjack tuna. Construction activity also remained robust, sustained by major infrastructure and resort projects, while the real estate market showed consistent expansion.
Inflation continued to ease, falling to 4.6 percent in the second quarter from 5.3 percent in Q1, reflecting lower food and energy prices. This decline, the MMA noted, provided relief to households and contributed to price stability across the economy.
The government’s fiscal position also improved notably. Total revenue (excluding grants) rose to MVR 8.9 billion, while total expenditure (excluding debt amortisation) declined by MVR 1.6 billion due to reduced capital spending. The financial sector remained stable and well-capitalized, with a 50 percent capital adequacy ratio and steady lending growth.
International reserves strengthened to US$832.4 million, supported by a US$400 million currency swap arrangement with the Reserve Bank of India. This has helped enhance external stability and reinforce confidence in the rufiyaa.
Despite persistent global headwinds, the MMA projects real GDP growth of around 4.5 percent for 2025. The report attributes this optimistic outlook to record-breaking tourism numbers, a thriving fisheries sector, fiscal prudence, and easing inflationary pressures.
With strong momentum heading into the latter half of 2025, the MMA’s findings reaffirm that the Maldives’ economy remains on a positive trajectory—anchored by sound financial management and the government’s commitment to sustainable, broad-based growth.
