The Maldives generated more than USD 68 million in green tax revenue during the first five months of 2026, marking a notable increase compared to the same period last year despite a sharp decline in collections during May.
According to the latest revenue statistics published by the Maldives Inland Revenue Authority (MIRA), the state collected USD 68.11 million in green tax revenue between January and May this year. The figure represents a 10 percent increase from the USD 62.19 million collected during the corresponding period in 2025.
The growth comes as the tourism sector continues to remain one of the country’s primary revenue generators, although recent geopolitical developments have begun affecting visitor numbers.
MIRA’s figures show that green tax collections in May dropped significantly, falling by 32 percent compared to the same month last year. Revenue for May stood at USD 8.95 million, down from USD 13.23 million recorded in May 2025.
Authorities attributed the decline to lower tourist arrivals, particularly amid travel disruptions and reduced demand linked to ongoing instability in parts of Western Asia and the Middle East.
Despite the slowdown in May, collections during the earlier months of the year remained strong.
Green tax revenue reached USD 14.38 million in January before recording USD 12.99 million in February. Collections peaked in March at more than USD 20.25 million before easing to USD 12.01 million in April and further declining in May.
Introduced in October 2016, the Green Tax was established as a dedicated source of funding for environmental protection and sustainability projects across the Maldives.
The tax is charged to tourists staying in accommodation facilities throughout the country, while children under the age of two are exempt.
Under the current structure, tourists staying at resorts, hotels and liveaboard vessels pay USD 12 per day, while guests staying in local guesthouses are charged USD 6.
Revenue generated through the tax is directed toward environmental and infrastructure initiatives, including coastal protection projects, waste management efforts, water and sewerage systems, environmental conservation programmes and other sustainability-focused developments.
The increase in collections during the first five months of the year comes despite recent fluctuations in tourist arrivals. Tourism remains the backbone of the Maldivian economy and a key contributor to state revenue through various taxes and fees.
Recent figures released by the Ministry of Tourism show that the Maldives is approaching the one million tourist arrival mark for the year, although arrivals remain slightly below last year’s levels due to external market pressures.
As the government continues to invest heavily in environmental resilience and climate adaptation projects, green tax revenue remains one of the most important funding mechanisms supporting efforts to protect the country’s fragile island ecosystems.
