Minister of Economic Development Fayyaz Ismail have strongly retorted to the criticism aimed by MATI at the government for its allegations and criticism.
According to the minister, the Maldives Association of Tourism Industry's (MATI) stern criticism at the government serves as a 'low blow' amid sensitive times.
On Wednesday, 06 May, the tourism promoting association have fired lambaste at Maldives government alleging it had excluded the association from discussions held prior to announcing the Covid-19 economy recovery plan.
In its statement, MATI claimed the economic recovery plan's loan scheme targeted at tourism industry will not provided substantial relief for the businesses involved and the prerequisites placed by the government for eligibility will bar many local tourism businesses.
Responding to MATI's criticism, Minister of Economic Development claimed the association was included in discussions. Minister Fayyaz Ismail further claimed government officials had met with the association on three separate occasions prior to the state imposed lockdown.
"They suggested no deductions for tourism sector employees earning between MVR8,000 and MVR10,000 and added deductions for employees earning above this. They further suggested not to incur deductions for the month of April, and deduct a set percentage for employees earning above the said salary range. They also suggested to continue the practice into the month of May as well and distribute it to a three-month period, with the government compensating for this by deferring rent for two quarters."
Government countered this with a deferment of rent for one quarter, which was responded with an apparent approval by members of MATI. Additionally, government have forwarded an official letter following the agreement.
MATI had instead requested from government to include employers that had reduced staff salaries, and provide to all tourism industry parties with relief loan. Fayyaz claims this was refused by the government.
The tourism promoting association have alleged government of falsifying the expected impact on Maldives tourism industry, adding the state was downplaying the effects on the industry in light of the economic recess.