Tag: ministry of tourism

Bikini business: the challenges of paradise on a budget

This story was originally published on Minivan News’ spin-off travel review site, Dhonisaurus.com.

With tourism authorities committed to branding the Maldives as a luxury destination, the establishment of guest-houses for independent travellers is presently seen as more of a niche “bonus” for the country’s economy, rather than an up-and-coming business model.

The Ministry of Tourism, Arts and Culture, currently in the process of attempting to claw back consumer confidence in the destination damaged during the early months of 2012, is also in the process of outlining a fourth long-term master plan for pursuing growth within the Maldives travel sector.

As part of these plans, government officials have said they are presently analysing the contribution to the economy of all tourist properties – including resorts, safari boats and guest-houses – before unveiling how each sector will be developed in the future.

While the demand for experiencing guest-houses on the Maldives’ inhabited islands is said to be comparatively “low”, one expert providing independent holiday experiences in the country has said there was interest nonetheless in providing options for backpackers and budget holidaymakers.

As a Muslim traveller first arriving to the Maldives in early 2011, Raki Bench was looking for alternatives to the country’s well publicised island resort experience. Bench, an internet marketing specialist by trade, said that after asking around at what was then Male’ International Airport, he found it was possible with perseverance to negotiate an escape to a local guest-house or even a stay on a desert island.

“We didn’t want to go to a resort and were interested instead in guest-houses and experiences with local people,” he said.

However, when considering the country’s strictly Islamic society, which outlaws certain holiday staples travellers may take for granted at other destinations – like wearing bikinis and purchasing alcohol – Bench said that catering for the needs of holidaymakers outside the Maldives’ resorts was not without its challenges.

Aside from cultural sensitivities, he pointed to several logistical and transport issues, as well as a lack of government support in recent years for the sector, as key concerns holding back the development of the guest-house industry.

Yet almost a year and a half after first arriving to the country, Bench is now the founder of the Guest-houses in Maldives website, which offers specially prepared packages to tourists from all over the world looking for a more budget-friendly, independent holiday experience.

“We find that the business caters for a mix of more budget-focused travellers and also those looking to explore the natural environment in the country. Since 2011, we have started to get interest from families wanting to come to the Maldives on a budget,” he said.

“At present, our main customer-base are Europeans for sure, there are a lot of backpackers staying in Sri Lanka for instance with an interest in coming over to the Maldives for a few days to stay in guest-houses. We also receive some requests from countries like Singapore, but Asia is not our main market.”

The magic number

As the Maldives this year aims to attract a total of one million holidaymakers to its islands, Bench stressed that the country’s reputation as a luxury destination underlined that fact that the guest-house model would not cater for everyone’s tastes.

He added that in recent years, despite previous government commitments to provide more mid-market accommodation for visitors wanting to explore the country’s inhabited islands, further support had been lacking.

“The government has not really been helping guest-houses at all. It is a small sector, but it is showing growth within the wider tourism industry. I don’t see any promotion from authorities,” added Bench, who said he was realistic about the economic reasons for this.

“I do understand why this is the case. After all what is the point in promoting an industry with a value of US$50 a night when you compare that to what resorts can make.”

According to recently published official travel industry figures, the number of bed nights recorded at Maldives guest-houses during January 2012 was up 17.3 percent to 2,867 compared to the same period in 2011.

Over the same period, 622,944 bed nights were recorded by the country’s resorts. Bed nights are used by the hotel industry as a measure of occupancy per person per night.

While the actually occupancy rate of guest-houses was also found to have increased by 2.8 percent in January 2012 over 2011,  guest-house accommodation was found to be only at 20 percent of total capacity, according to the statistics.

Bikini restrictions

From his own experience, Bench said that as the country’s current crop of guest-houses had opened in recent years, not all their proprietors were perhaps experienced in running a travel business – meaning properties were not always being used to their full potential.

“My advice to guest-house owners would be to try and think of the problems they will face,” he said. “Think if there will be daily transfer to your island, think of the restrictions on wearing bikinis on local beaches, therefore is there a resort or private beach nearby?”

Both through his own website, and working as a guest-house product manager for the Maldives Dive Travel company, Bench said that he only offered customers full-board packages. He claimed this was important decision, both as a means to provide the best value for money, but to also overcome the potential challenges in hosting foreign guests.

Taking a typical day staying at a guest-house as an example, Bench said that upon waking up and having a traditional breakfast prepared by their hosts, visitors would then be offered a choice of excursions from diving or surfing, to spending a day aboard a liveaboard boat, private island or even a resort.

“The main reason for this is to leave the island to overcome bikini restrictions. All people who book with us are offered excursions due to the restrictions imposed under local laws,“ he said.

Bench claimed he also aimed to ensure guests booked excursions in advance, as arranging trips such as reef snorkelling or a day on a private beach once staying at a guest-house could prove much more costly.

“You can often find a room yourself at guest-houses for around US$70, which is cheap, but you need to be aware of the regulations and some of the hidden charges that are there,” he said.

Adapting

Despite cultural and legal restrictions on the wearing of bikinis and selling alcohol on the inhabited islands where guest-houses are based, Bench said that increased booking numbers, particularly from European tourists, highlighted that holidaymakers were adapting to the unique nature of more independent travel in the Maldives.

“The increased bookings seen at guest houses in general shows that people are adapting to local cultures during their stay and we haven’t faced too many problems in this regard,” he said.

Aside from guest-houses, with the Maldives’ territories estimated to be comprised of over 90 per cent water, it is perhaps not surprising the safari boats – with their cabins and trained dive staff – have also become an important part of the development of mid-market travel in the Maldives.

Maldives Dive Travel, a company Bench also represents, has itself begun offering guest-house experiences to customers along with its traditional liveaboard voyages, allowing the chance to combine a stay both above the water and on the country’s inhabited islands.

However, Bench said that as a wider industry development, collaboration in the country between safari boat operators and guest-house owners that would allow greater mobiltiy between local islands presently appeared far from viable.

“I know we have thought about combining voyages on safari boats and allowing guests to travel to different islands before. But the only real solution for this would be if a liveaboard boat had the same owner as guest-houses,” he said. “Logistically, for foreign companies like us, this would be impossible to arrange, the infrastructure is not there.”

Bench added that while the Maldives’ laid back island culture was extremely appealing for guests on holidays, a similar attitude sometimes found to be adopted within the country’s ministries and administrative offices also hampered coordination between different industries and sectors.

“Love and nurturing”

Adrian Neville, a veteran of travel writing in the Maldives, told Dhonisaurus that guest-houses had played a role in the development of the country’s holiday industry since being founded in 1972. However, the properties were abruptly closed for many years as of May 1, 1984.

“This was pretty much directly at the behest of the resort owners for obvious reasons and on the spurious grounds of social problems and the wrong type of tourists,” he said. “Of course, now those wrong types are just fine – now they are not ‘hippies’ but ‘independent travellers’.”

While guest-houses had been reintroduced back in 2008, Neville contended that he was not sure whether the general attitudes of resort owners in the country would have changed much, particularly in terms of supporting the fledgling industry.

“The sector is up and running, but it is a weakling in need of love and nurturing,” he said.

Neville claimed that while there was clear interest in the further development of a guest-house sector to allow independent travellers to take in the Maldives, the country’s long-term segregation of tourists from local communities may also serve to limit the potential.

“There is sufficient interest but it won’t grow quickly until the issue of separation or, most unlikely for the foreseeable future, co-habitation with different lifestyles, is resolved,” he said.

According to Neville, there was one key challenge that he ultimately believed would hold back the wider development of guest-houses and opening up independent travel up to tourists.

“Transport. Transport. Transport,” he added. “The ferry system is a sine qua non. A no brainer and a great idea but sadly it has died, withered on the vine as it tried to establish itself. The economic plan to make it happen turned out not to be viable,” he said. “Until this is reworked not enough is being done to open [guest houses] up to tourists.”

Master plan – version 4.0

Ahmed Adheeb, the recently appointed Minister for Tourism, Arts and Culture, said that provisions allowing guest-houses to cater for tourists were provided under law back in 2008.

However, with the government of President Mohamed Waheed Hassan having replaced Mohamed Nasheed’s administration earlier this year, tourism authorities have said they were now in the process of devising an overall tourism plan that would include potential developments for independent travel.

Adheeb said that it was presently difficult “to say where we stand on guest-houses” as the industry was still relatively niche compared to the established resort market.

“The Maldives continues to be branded as a luxury destination within the tourism market. It is a bonus therefore that these guest-houses allow us to supply mid-market demand,” he said.

With the Ministry of Tourism of Tourism, Arts and Culture working with bodies like the World Tourism Organization (UNWTO) on the development of a fourth national “master plan” for outlining tourism industry developments, the exact nature of diversification was as yet undecided.  The third master plan was concluded last year.

“We are formulating our plan right now. This will look specifically into how many guest-houses have been built and how they contribute to the economy,” he said.

Adheeb said that he would be also be looking at quality standards as well as issues of security at more independent properties as part of the master plan before divulging how the government might look to support and promote guest-houses.

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European decline could stall tourism in 2013: MATI

As the economies of America and the European Union (EU) become more vulnerable in the coming years, the Maldives tourism industry will see a decline in business, the Maldives Association of Tourism Industry (MATI) has predicted.

Maldives Association of Tourism Industry (MATI) yesterday claimed that decline in European traffic to the Maldives was due to economic stability in that region.

MATI Secretary General ‘Sim’ Ibrahim Mohamed pointed out that total tourist arrivals has not declined; in 2011, the Maldives set a new record of nearly one million.

“Occupancy rates in resorts have gone up following the arrival of Chinese tourists,” Sim told local media. “But the number of tourists arriving from Europe and other western countries has declined and we are threatened by the economic instability that Europe is experiencing.”

Maldives Inland Revenue Authority (MIRA) has lately released data indicating that tourism comprised a majority of state revenue in 2011. The State Budget for 2012 was created on this assumption, and leans heavily on expected revenue from tourism in the coming year.

Although the tourism industry has recovered impressively from devastating Boxing Day tsunami of 2004, Sim predicted progress would stall mid-2013 due to “global economic changes as economies of countries like America and the European Union become more unstable and vulnerable.”

However, the Maldives promises to remain atop its niche market of small island tourism. While Mauritius and the Seychelles are leading competitors, Sim affirmed that within the small island niche “we are unbeatable, and I believe it will stay that way.”

According to Simon Hawkins of the Maldives Marketing and PR Corporation (MMPRC), close correlation between a tourism industry’s marketing and arrivals is a strong indicator of success.

In 2011, Hawkins said, the Maldives destination board spent US$2 million on marketing and received close to one million tourists.

Comparatively, Mauritius spent US$13 million and received one million tourists.

“We’re six-and-a-half times more cost effective than Mauritius, and 30 times more cost effective than Indonesia,” said Hawkins. “We are batting very much above our weight, but that’s because the product is brilliant.”

Sim added that the Maldives product did not need to be reinvented during the European recession to suit the growing Asian market.

“Chinese tourists are like any Western tourist,” he explained. “When the Russians began coming to the Maldives they had some different expectations, but now they are used to what we offer. The Chinese will be the same.”

In 2011, Chinese tourists comprised a majority of total arrivals. However Minivan understands from conversations with resorts managers that while they come in high numbers they are not generally high spenders – while resorts make a bulk of their revenue from the bars, restaurants and spas, officials have noted that Chinese tourists’ primary expenditures are on board and transportation.

Minivan News inquired whether the 2013 presidential election would impact tourism.

“Political parties have matured, and the people have matured. They are accepting democracy,” Sim said. “2013 will be much better than when we started our multi-party system in 2008.

“Democracy is not a beauty pageant, it has ups and downs and hustle and bustle, and I think people understand that,” he observed.

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Gasim will “not surrender to pressure” as government closes Villa spas

Opposition MP and tourism tycoon Gasim Ibrahim has warned the government that he would not “surrender to the pressures” of authorities after they halted operations of his airline, Flyme, and ordered the closure of spas in five resorts in his Villa chain in the past 48 hours.

In a statement released on Monday, Transport Ministry said that Flyme airline, which began operating on October 2, was asked to halt operations while the ministry carried out an audit. The audit is addressed on an incident with the aircraft which took place on December 24.

The audit would be carried out within three months to determine whether the Flyme operations are administered according to the Civil Aviation regulations, the statement read.

However, on Tuesday morning Gasim’s lawyers successfully sought a civil court order to resume Flyme operations.

Meanwhile, on Sunday the Tourism Ministry sent a notice to Gasim’s Villa resorts ordering management to shut down resort spas until further notice, claiming the ministry had received reports of prostitution in those departments.

On Monday, a police team accompanied Tourism Ministry officials to Gasim’s Paradise Island resort to investigate the reports.

However, the resort’s manager Gaisar Naseem rejected the ministry’s order, claiming that  no illegal activity is occurring in the spas, and refused to close down the spas without a court order, local media reported.

Naseem was summoned to appear at Police headquarters for further questioning at 2:00 pm on Tuesday.

Police Sub-Inspector Ahmed Shiyam confirmed that police are cooperating with the Tourism Ministry to investigate the allegations against the resorts.

Gasim, Leader of Jumhoory party, has said the government’s recent decisions are targeted to “silence” him because of his work in the parliament and on a political platform.

In a press statement released on Monday night, Gasim assured that his businesses are of high standing and will bring only a good name to the country.

However, he warned that the government’s allegations that he is running “brothels in the resorts” will harm the tourism sector.

Gasim also warned the government that he will “not surrender to the pressures”, and that the government is “foolish” to think otherwise.

During the December 23 protest to “defend Islam”, Gasim criticized the government’s religious credentials.

“We don’t know there is a moderate, higher or lower Islam. We only know Islam, which is above all the religion. The only road we must follow is based on Allah’s callings,” said Gasim, slamming the government’s calls for “moderate Islam”.

Ruling Maldivian Democratic Party (MDP) MPs have also recently accused Gasim of proposing amendments to “destroy” the government’s budget for 2012.

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Households prohibited from offering tourist accomodation

The Tourism Ministry has said households are not permitted to provide lodging for tourists, and indicated action will be taken against those who violate Article 20 of the Tourism Act.

The Act state that registered businesses with required facilities may host tourists. Tourists may not receive accommodation in exchange for payment to any establishment other than a registered and licensed guest house and hotel.

Households in Male’, Hulhumale’ and other atolls had recently placed advertisements for housing tourists.

Tourism Ministry Permanent Secretary Ahmed Solih told Haveeru that no complaints had been received, and that the ministry had issued the warning to inform the public of the policy.

Popular traveler website CouchSurfing, however, has nearly 80 registered users in the Maldives. While some users simply look to meet for coffee, others offer basic accommodation to travelers in exchange for a local perspective.

CouchSurfing does not facilitate, stipulate or endorse financial transactions.

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Addu grows roots with SAARC preparations

“This is the foundation of Addu’s development,” said Addu’s mayor Abdullah Sodiq, referring to the city’s SAARC preparations during a press conference held in Hithadhoo yesterday. He said the projects had been supported by “99 percent” of Addu residents.

Maldivian media was flown to Addu yesterday to observe preparations for the upcoming 17th annual SAARC Summit, scheduled for November 10-12. Festivities will be held in the area starting on the first of the month, in conjunction with the Muslim holiday of Eid.

“We are expecting a lot of traffic through here, and are confident that everything will be ready in time,” Sodiq said. “But this is only the beginning, and we have many more plans for development.”

Addu’s SAARC projects have been underway for six months, officials report. As the deadline approaches, construction teams are working round the clock to finish two harbors, a VVIP lounge, roads and the country’s largest convention center.

Sodiq said the harbors will renovate Addu’s commercial prospects, while the convention center provides new opportunities for locals, officials and foreigners alike.

Construction of Feydhoo harbor continues as the first deadline passes and another approaches.

“The harbor is a central place for Addu, there is demand for it even after SAARC and we have plans to generate more industry and shipping using these new resources,” said Sodiq.

New roads constructed around the convention center have made future road development less expensive for the council’s budget, he added.

Addu’s council also plans to use the Rf115 million convention center, a two-story building of glass, wood and marble with a capacity of 3000, to transform the atoll from a quiet place to a hub of business and tourism.

“We have some representatives talking to businesses in Singapore and Malaysia about hosting events here,” Sodiq told Minivan News. “We will be soliciting bids to find the right event manager to look after the convention center as well. I think there are people interested in what Addu has to offer, and I’m sure we can get a market for it.”

Officials and locals interviewed also hinted at hopes for musical events, theatrical performances, art exhibitions and holiday celebrations.

Ministry of Tourism, Arts and Culture Assistant Director Ahmed Abeer Ismail said the centre’s origins were a sign of Addu’s potential. “That area began as a swamp, now it’s the biggest convention center in the country.” The swamp was heavily landscaped by MNDF and police forces, and now features a few scenic islands.

One of the Maldives’ most strategic atolls, Addu has been largely left to seed since the British withdrew its forces and influence in 1975. City councilor Ahmed Mirzad called SAARC the beginning of a new Addu.

“For 30 years we had Gayoom, and nothing was done in Addu. Then there was a new president, and unlike Gayoom he didn’t just look after Male’, he looked after the entire Maldives. For 30 years we didn’t even have one harbor that was working for Addu, but in the past six months, we have gotten everything,” said Mirzad.

Addu’s councilors were elected for the first time six months ago. Mirzad said the next three years will be a difficult but critical time for the council to prove itself to Addu’s people. Still, the timing is ideal.

“I don’t think, I know that this summit is the right starting point. Now, we will only keep going with our plans to grow,” he said.

Workers cross a newly-constructed road to continue landscaping across from the convention center.

One particular operation illustrates the grassroots motives behind the SAARC preparations. Selected from Maldives National University (MNU) Addu first-year students in hospitality, 24 Media Liaison Officers greeted Male’s press pack yesterday.

One young woman said the event was as much for the liaisons as for Male’ press.

“It’ll be challenging to handle foreigners and media personnel,” a group of students concurred. “But we are so happy to have this opportunity.”

“I was shocked to be asked to take part in SAARC, I never thought that I would get to work at something I’d heard so much about,” said another student. “And the certificate of reference that I’ll get afterwards will be really helpful for me when I’m looking for a job after graduation,” she added.

Liaisons have just completed a six-month management course and are attending seminars and briefings for SAARC. They will be divided into 11 teams of two to three officers and assigned to press pooles from different countries.

“The ministry was going to get people from Male’, but I suggested we use the local energy. They are good, they can do the job, and this is a key event, so why shouldn’t these students take part?” said Abeer.

Addu’s development isn’t only tailored to foreigners; Sodiq said part of the development plan is to bring Addu residents home.

“Unlike other islands, we have historical places to visit and our islands are connected, so tourists can actually see more than the sun, sand and sea. We will be constructing more lodgings as well, and our hospital and airport are going to be expanded. More business means more jobs, and part of the purpose of all this is to bring Addu citizens back after their migrations to Male’,” he said.

In Addu, infrastructure is a priority for community growth. Noting that education was key to development, Sodiq said that a Kangaroo school is scheduled to open next year, and a Billabong school is being considered.

For the moment, however, Addu’s mind is on SAARC.

With teams working around the clock to complete harbors in Gan and Feydhoo, and MNDF motorcades practicing their moves late into the night, Addu is a bustle of construction and security.

Both harbors were originally due for completion on October 25, yet concrete foundations have not yet been laid. However officials assure that they are 90 percent complete. When asked about setbacks, National Security Advisor Ameen Faisal said, “The weather. Due to heavy rains, many projects were delayed. It was unexpected and beyond our control, but we managed and we are on target.”

Inquiries of Addu’s appearance for SAARC yielded few details. “It’s a secret, we want it to be a surprise,” Faisal and Sodiq concurred.

Security, however, is highly detailed.

MNDF has delegated security teams to specific event components including media, medical, resort transport, and the airport. “Right now we are very confident in our security personnel and do not anticipate any problems during the SAARC summit,” said International Media Coordinator Ahmed Ibrahim.

Ibrahim added that “it will be helpful to have the extra security forces that other countries are providing because Addu is very big.” In addition to ground security, MNDF will be supported by the coast guard, which will establish multiple security layers around Addu’s marine perimeter, special task forces from Sri Lanka, and surveillance equipment from China, among others.

Summit guests include three of the world’s most controversial heads of state from India, Pakistan and Afghanistan. Their reputations do not appear to cause anxiety to SAARC officials.

“They will not receive any special treatment, unless requested of course,” said MNDF Commander of SAARC Airport Security, Ahmed Shafeeq.

“There is no risk at all,” said Faisal. “We aren’t even bothered about it.”

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VVIP airport lounge opens after four month project period

“Tourism begins here. The resort begins here.”

Plaza Premium Lounge Executive Director Linda Song described the newly-opened Koimala Executive Lounge at Ibrahim Nasir International Airport (INIA) as “everyone’s apartment” during today’s inaugural event, which included a ribbon-cutting ceremony, speeches and a reception.

The lounge, which includes three sitting rooms, two verandas, a kitchen and a presidential sitting room, is part of GMR Infrastructure Ltd.’s project to expand and upgrade INIA by June 2014. GMR shares the venture with Malaysian Airports Holdings Berhad in a 77 to 33 percent relationship.

The Presidential Lounge offers privacy to government officials.

During a tour of the facility, Mrs Song commented on the facility of working with GMR. “I think its international experience has shaped GMR as a very flexible, open-minded company,” she said.

Tourism Minister Dr Mariyam Zulfa made a similar observation during the opening ceremony, reinforcing her praise of GMR from the earlier opening of INIA’s Plaza Premium Lounge.

“GMR is a company that listens to the stakeholders in the tourism industry, and that pleases the government to no end. I’m always delighted to come to the airport with stakeholders from the industry to open the dialogue for tourism,” she said.

Noting that Plaza Premium was invited to undertake the project only four months ago and with the caveat that the area is due for demolition in two years’ time, Zulfa said the lounge was an impressive and valuable accomplishment.

“Everything to do with the socioeconomic development of the Maldives should center arround tourism,” she said. “Because tourism, of course, is our number one industry, and everything we do should center around making the product even more perfect than it is today.”

The common area features television, wi-fi, and a variety of seating areas.

For a reservation of US$150, VVIP lounge guests are relieved of their luggage at a private security screening while their flights are monitored and their schedules arranged by the lounge concierge. Meanwhile, guests can enjoy an open kitchen and cafe, wi-fi, plasma screen televisions, and spacious seating arrangements.

Plaza Premium Lounge Management Ltd currently services 17 international airports and 60 locations with infrastructural development. The Hong Kong-based company is the world’s first ‘pay-in’ lounge.

Several people noted that the lounge’s opening was well-timed with the SAARC summit, which will bring heads of state from across the region to the Maldives.

Plaza Premium Founder and Chief Executive Officer, Song Hoi See said he did not agree with the project’s constraints but appreciated the challenge.

“Airports and tourism don’t always work together. But the Maldives is a special place, and the airport is the first and last place to impress the tourists,” he said, adding that he anticipated the new airport’s design.

Mrs Song attributed the success to Plaza Premium’s high level of preparation to overcome constraints of the Maldives’ industry. “We are well planned, and we shipped most interior design materials here pre-made. There aren’t many resources here for interior design development, so it would have been difficult otherwise.”

Designer Kinney Chan said the project was enjoyable in spite of the short notice. “It’s great to do something for comfort here, to blend with the resort feel, without getting too heavy.”

GMR CEO Andrew Harrison noted that the design had improved a formerly low-ceiling, dark room by bringing in natural light and creating “a home feel, supported by the excellent service that staff provides.”

“It’s a beautiful country full of beautiful people, and now we’ve delivered a beautiful lounge to match that,” Harrison concluded.

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Internet expands opportunities for Maldivian artists

Opportunities for Maldivian artists have been expanded by the Maldivian Artists Directory, an internet platform for artists to share, showcase and market their talents and interests. The directory was developed by the Ministry of Tourism, Arts and Culture with the support of the United Nations Development Project (UNDP) Male office and the National Centre for the Arts (NCA).

Artists who meet directory criteria may register on-line with a resume and contact information. Criteria vary by artistic category, and may include publication to an internet forum and community involvement. Artistic categories are performing, music, literary, visual and traditional.

“We believe the Directory will also provide opportunities for artists to better market themselves and their products as well as seek interested audiences and those wishing to commission artworks or invest in arts projects,” the ministry said in a press release.

The ministry intends for the directory to “help in defining a distinct Maldivian identity as manifest in the arts practices and traditions of the Maldives, both old and contemporary,” while making these cultural aspects more accessible to tourists.

The Ministry of Tourism, Arts and Culture recently joined International Federation of Arts Councils and Culture Agencies (IFACC), a network connection arts councils and ministries worldwide.

In June this year, the Arts Development Fund was set up by the Ministry of Finance and Treasury. Criteria to award funding and other support was also set up, and the ministry will be helping local artists organize fund raisers.

Plans for an arts council are underway, however the ministry has delayed submitting the act stipulating these plans to Parliament “because of the present climate which we foresee as more conducive later in the year.”

The ministry has asked President Mohamed Nasheed to appoint a council with the minister’s advice. Of the appointments, however, those for theatre and drama, film making, literature, visual arts, music and crafts will be appointed independently.

Applications for the directory are available on-line.

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Tourism sails on with luxury in fragile setting

Maldives tourism has made an impressive comeback since the 2009 global recession, and investment from China and India is expected to surpass precedents in coming years, finds a report from Care Ratings Maldives.

Nonetheless, the Maldives occupies a precarious market, and government controls limit foreign investment, the ratings agency found.

In 2005 Asia surpassed America as a tourist destination, coming in second to Europe. According to Care Ratings, Foreign Tourist Arrivals (FTA) surged this year as China’s economy flourished and European economies made a slow comeback. Chinese tourists are projected to account for 15 percent of Maldives FTA by 2020.

Plans are being made to expand capacity accordingly. The Maldives tourism sector will add 77 new resorts and increase bed capacity by 47 percent over the next three years, the report finds. Additional safari vessels are also expected to be added to the industry, which already boasts a fleet 150 strong.

By the end of 2011, the report projects the direct employments in tourism will have grown from 35,000 to 38,000. Fifty percent of these are likely to be expatriate hires.

Revenues are also expected to increase by 10 percent by the end of the year, claims the report.

Tourism is the largest contributor to Maldives national GDP and foreign currency, however the sector is restricted and vulnerable. The reports lists terrorism, global economic crisis, and limited land and human resources as obstacles to growth. It also points out that environment is a major factor of success.

“The tourism industry is capital-intensive in nature due to the high cost involved in leasing the land, developing the land and constructing a self-contained tourist resort,” states the report. Maldivian resorts frequently sell the appeal of the natural environments, but the Maldivian construction industry lacks the capacity to process raw materials.

Importing processed materials drives the average resort room construction cost up to US$30,000 to US$60,000, one of several factors which makes tourism in the Maldives a high-end market.

Human capital is mentioned as a complicating factor. Resort employment could account for one-tenth of the Maldivian population, 32 percent of which is unemployed. However, only half of resort employees are Maldivian.

Coincidentally, a recent study found that social stigma limited female Maldivian employment in the resort sector to 3 percent, a number far below the demographic’s potential.

Another challenge to growth is government oversight. “The industry now is very much regulated by the government of the Maldives,” states the report. “Tourism is now developed and managed according to country-wide policy based on a master plan.”

All Maldivian islands are government-owned, and resorts can only be leased for 25 to 50 years. Construction is limited by the “One Island One Resort” policy, which allows only one resort per island, and structures are limited to 20 percent of the land available.

Over the past three decades, the ministry has introduced three tourism master plans.

Although the report recognizes the complicating effect of government restrictions on developers and investors, it states attributes these plans with significant growth.

“The growth of the industry in the last couple of decades was mainly due to the efforts taken by the government to promote the tourism industry and the progress was largely on a planned path determined by the First Tourism Master Plan (1983-1992), the Second Tourism Master Plan (1996-2005) and the Third Tourism Master Plan (2007-2011).”

The Maldivian government also created the Maldives Marketing and Public Relations Corporation (MMPRC), which promotes the Maldives as a brand in the world tourism arena.

Last week, MMPRC recognized the value of the Asian travel market by co-hosting a travel agents networking event with GMR. In a nod to the region’s booming business culture, MMPRC MD Simon Hawkins pointed out the advantages of hosting meetings at Maldives resorts.

MMPRC aims to draw 1 million tourists to the Maldives by the end of 2012.This year, the Maldives reached 700,000 arrivals by September.

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Maldives to sign UNESCO convention to protect country’s intangible heritage

The Maldives will participate in the Convention for the Safeguarding of the Intangible Cultural Heritage, a UNESCO programme established in 2008. It is already a participant in the World Heritage Convention and the Cultural Diversity Convention.

The proposal to join the convention was made by the Ministry of Tourism, Arts and Culture, and was approved at yesterday’s Cabinet meeting.

“We have had no effort to safeguard either tangible or intangible cultural heritage in the Maldives,” said Minister of State for Tourism, Arts and Culture Ahmed Naseer. “It is very easy to see things like poetry, music, language, and dance disappear if they are not practiced. We need to have a law enacted to outline these practices.”

A draft of the new legislation is before Parliament, and Naseer hopes it will be passed before the end of the year.

UNESCO defines ‘intangible cultural heritage’ as “practices, representations, expressions, knowledge, skills – as well as the instruments, objects, artefacts and cultural spaces associated therewith – that communities, groups and, in some cases, individuals recognize as part of their cultural heritage.” The convention states that cultural elements must be protected by local and international communities.

Some aspects of intangible cultural heritage in the Maldives have been overshadowed by religious scholars, “or individuals who claim to be religious scholars,” said Naseer. “For example, some performing arts, especially on local islands, have come to a stop because of religion. It’s a problem of interpretation,” he said.

Naseer noted that the Maldives seeks to gain expertise and guidance from UNESCO, but that “the aspect of money is not the priority.” He said training Maldivians in cultural preservation was one priority.

Deputy Minister for Tourism, Arts and Culture, Mamduh Waheed, said protecting cultural heritage would improve tourism in the Maldives. “We have a market for the natural aspect of the Maldives, and now we will be able to add cultural attractions and destinations. I think it will draw tourists interested in cultural conservation,” said Waheed.

Waheed noted that this is the third UNESCO cultural convention that the Maldives has been involved in.

Other non-government organizations (NGOs) have shown interest in the convention, claimed Naseer. International NGOs are expected to be involved in the research and design process. The involvement of local NGOs is less clear.

“Local NGOs have been coming into the forefront lately, but not many NGOs cover this material,” said Naseer. “I feel there’s a huge gap when it comes to safeguarding heritage in the NGO sector. It will take some time.”

Over 130 countries are signed participants in the convention. The convention’s stated purposes are to safeguard the intangible cultural heritage; to ensure respect for the intangible cultural heritage of the communities, groups and individuals concerned; to raise awareness at the local, national and international levels of importance of the intangible cultural heritage, and of ensuring mutual appreciation thereof; and to provide for international cooperation and assistance.

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