Maldives Collects Over $226 Million in Green Tax to Fund Eco-Projects

The Maldives government collected over USD 226.43 million in green tax revenue by the end of 2025, according to the latest data from the Ministry of Finance and Public Enterprises. The funds, derived from tourists visiting the archipelago, are dedicated to supporting nationwide eco-friendly initiatives. According to the ministry's Green Fund Report released in December, USD 161.73 million was deposited directly into the fund. Of this amount, USD 17.79 million has already been invested into sustainable projects. These funds are earmarked for critical environmental work across the islands, including beach protection, coastal cleanup, and the installation of essential water supply and drainage systems. The green tax is applied to tourists staying in resorts, guesthouses, hotels, and safari vessels. Resorts remain the primary contributors, providing USD 12.94 million, followed by guesthouses which contributed USD 724,536.24. Additional revenue was generated from hotels (USD 135,849.79), safaris (USD 304,044.78), and homestays (USD 5,977.58). Revenue growth was bolstered by a rate revision implemented on January 1, 2025. The government doubled the tax, increasing the fee from USD 6 to USD 12 for high-end tourist establishments, and from USD 3 to USD 6 for other categories. Children under the age of two remain exempt from the levy. Seasonality played a significant role in the collections, with April emerging as the highest-earning month at USD 14.62 million, followed closely by December with USD 14.10 million. Geographically, Kaafu Atoll contributed the largest share of the revenue, totaling USD 4.84 million. Raa Atoll followed with USD 1.42 million, while Alif Dhaalu Atoll ranked third with USD 1.30 million. As the Maldives continues to face the frontline challenges of climate change, the strategic management of the Green Fund remains central to the nation's resilience and environmental preservation efforts.