MATATO Advocates for Fiscal Reforms Including Dollar-Based Taxation

The Maldives Association of Travel Agents and Tour Operators (MATATO) has expressed strong support for the government’s proposed amendment to tax businesses that earn revenue in dollars using the same currency. MATATO believes that these changes will positively impact the Maldivian economy.

In its statement, MATATO highlighted that the move to tax dollar earnings aligns with the government’s broader strategy to retain foreign currency within the Maldives. The association stressed the need for fiscal policy reforms and promised full cooperation in implementing the necessary measures.

The new fiscal measures include income tax, pension contributions, and customs duties on dollar-earning businesses. Additionally, the Goods and Services Tax (GST) system will be adjusted to follow the 'destination principle,' while green tax and the airport development charge will also see amendments. MATATO’s endorsement reflects its support for President Dr Mohamed Muizzu's efforts to improve the nation’s financial stability.