The Gross Valued Added of tourism sector for the second quarter of 2021 is MVR3,198 million (MVR3.2 billion), marking a growth of 2,212.7% in comparison with the corresponding quarter of 2020.
The Gross Valued Added is commonly termed as an “economic productivity metric” that is used to measure the contribution of corporate subsidiaries, companies or municipalities towards an economy, producer or sector or even a region. Investopedia excerpt of GVA is described as “the output of the country less the intermediate consumption, which is the difference between gross output and net output.”
The massive expansion in the GVA of the tourism sector comes mainly due to the increment in the tourist bed-nights for the review quarter in comparison with the same quarter in 2020.
Moreover, the tourist bed-nights of the review quarter increased by 1.79 million when compared with the same period last year, which had resulted mainly due to the Maldives government closing its borders in 2020 in light of the Covid-19 pandemic.
However, when compared with the preceding quarter (Q1-2021) the review quarter observed a decline of -24.5% due to the decrement in tourist bed-nights.
As such, the tourist bed-nights during the review quarter decreased by 568,702 compared to the first quarter of 2021 owing to the seasonal nature of the country’s tourism sector.