Skift Take
The re-entry of EaseMyTrip into the Maldives market signals a thaw in the diplomatic frost. But it also raises questions about how travel companies should respond to political tensions. Should they pick sides, or remain neutral, serving the interests of travelers and the economy?
Indian online travel company EaseMyTrip has resumed flight bookings to the Maldives. This comes after EaseMyTrip suspended services in January following a diplomatic spat between the two nations.
In a filing with the Bombay Stock Exchange (BSE) on Friday, EaseMyTrip announced the resumption of flight bookings to the Maldives, citing “improved bilateral ties” between both the governments and positive discussions with the Maldives tourism ministry.
“Basis positive developments in mending India-Maldives bilateral ties, by both governments, we are resuming bookings to the Maldives,” said Nishant Pitti, co-founder and CEO of EaseMyTrip.
Diplomatic Rift: The #BoycottMaldives Movement
EaseMyTrip suspended all bookings to the Maldives earlier this year in response to diplomatic tensions, sparked by disparaging remarks allegedly made by Maldivian politicians about India’s Prime Minister Narendra Modi.
This incident led to the social media campaign #BoycottMaldives, which saw significant cancellations of trips from India to the island nation. Prashant Pitti, the co-founder of EaseMyTrip, publicly stated that the company would put “nation first” and stand in solidarity with the Indian government.
The travel industry felt the strain, as reports stated that over 8,000 hotel bookings and more than 2,500 flight tickets had been canceled.
Given that tourism accounts for two-thirds of Maldives’ GDP, the impact was severe, especially on guesthouses and small and medium-sized enterprises (SMEs) that rely on Indian visitors. According to Abdulla Ghiyas, president of the Maldives Association of Travel Agents and Tour Operators, the economic fallout was clear, prompting a formal request from the tourism association to EaseMyTrip to reconsider its stance.
Economic Ramifications of Indian Tourism for Maldives
Fast forward to October, and the situation has improved dramatically. Nishant Pitti said the decision also comes after a constructive dialogue with the Maldives tourism ministry delegation during their recent visit to India at the EaseMyTrip office.
Maldives Tourism Minister Ibrahim Faisal had visited India in July-August as part of the “Welcome India” initiative. Faisal’s visit included roadshows in major Indian cities such as Delhi, Mumbai, and Bengaluru in August.
Before the #BoycottMaldives movement, India was the top source market for Maldivian tourism. Last year, almost 210,100 Indian tourists visited the island nation. However, as of September 25, 2024, Indian arrivals have dropped to 88,686, pushing India to sixth place in the Maldives’ tourism rankings.
Recognizing the economic importance of Indian tourists, Maldives has been actively working to bring India back as a top source market. During the “Welcome India” roadshow, Maldives Marketing & Public Relations Corporation CEO Ibrahim Shiuree reiterated this goal, stating, Maldives hopes to make India one of its top three tourism markets again.
India-Maldives Partnership
The travel industry has welcomed EaseMyTrip’s decision. Ghiyas, who played a role in the discussions, said to Skift, “During my visit to New Delhi in July, I had the opportunity to meet with the senior management at EaseMyTrip’s headquarters, accompanied by our Minister. I am now thrilled to see them offering bookings for the Maldives. This milestone highlights the strong India-Maldives partnership.”
Maldivian President Mohamed Muizzu will also be visiting India for his first state visit from October 7 to 10.
Maldives has set a target of 3 million annual tourists by 2026 with a focus on India and China. With 1.46 million tourists already visiting the Maldives in 2024, a 10% increase over the previous year, there is optimism that the renewed ties will give a further boost to the tourism sector.
