Dollar outflows due to foreign dominance of tourism sector: Siyam

Foreign currency does not remain in the Maldives economy because foreign investors now control most of the tourism industry, prominent businessman and Meedhoo MP Ahmed Siyam Mohamed said today.

Speaking during Parliament’s debate on the 2026 budget, Siyam said that 90 percent of the tourism industry is now in the hands of foreigners

He urged the government to create more opportunities for Maldivians to work in and develop the sector, saying islands designated for resort development should be leased to local investors where possible.

Siyam said that the state’s sovereign guarantee for the development of his own resort, Siyam World, is an example of how supporting Maldivian businesses benefits the country.

“Three years ago, a sovereign guarantee was given to develop an island in Noonu Atoll. The finance minister will know that this guarantee has brought the state USD 10–13 million so far. And in taxes, Siyam World pays about the same amount as ten ordinary resorts,” he said.

The resort employs 2,000 people, he added, questioning why the government should not help Maldivian entrepreneurs.

Without such support, he said, islands designated to be developed into resorts risk falling entirely into foreign ownership, which would harm the economy in the long run.

“Today we have lost 90 percent of the entire industry to foreign investments,” he said.

“We talk about the dollar not staying in the Maldives. This is the reason. We Maldivian businessmen keep our dollars in local banks; we keep them in the Maldives.”

However, he acknowledged that some level of foreign investment remained necessary.

Siyam also added that the Maldives should diversify beyond tourism and make greater economic use of its surrounding oceans.