DEMEC HPL

 

Hospitality & Travel industry is known as tourism industry, and is the largest sector in which foreign investment is common. The Maldives in the early days of tourism had a relaxed policy to attract investments. This has facilitated private sector involvement and rapid growth in the sector based on market forces. All the islands used as resorts are leased by the government for private individuals or companies. Multinational companies and hoteliers like Hilton Hotels, Club Med, Four Season and One and Only etc… run and manage resorts in the Maldives today.

Many Maldives resort owners assign management contracts with foreign companies and some of these resorts are solely managed and owned by such companies.

 

The industry now is very much regulated by the government of the Maldives. Tourism is now developed and managed according to country wide policy based on a master plan. This task is carried out by the Ministry of Tourism. The ministry in the light of their development plan decides how many beds will be allocated in the country for tourists in a given period.

 

In Maldives the resorts are self contained island communities with all the amenities on the island. Each of these small islands is a resort. The government leases these islands to private parties to develop as tourist resorts. Bidding of the islands is regulated under Maldives Tourism Act 1996.

As tourism sector is a wide industry there are scope for investments in many different related activities such as supply of goods and other services to this industry. To that end, Demec has planned to invest in the industry with new ideas and strategies.