National Bureau of Statistics (NBS) has revealed the Gross Domestic Product (GDP) declined by 5.9% in the first quarter of 2020.
The Quarterly National Accounts Report publicised by the NBS showed GDP growth rate declined by 5.9% in the first quarter of 2020 when compared to the first quarter of 2019. NBS revealed the decline is primarily reflected by the negative contribution to growth from tourism, construction and wholesale and retail trade sector. In this regard, the growth of tourism sector declined by 2.7%, construction sector declined by 1.4% and wholesale and retail trade sector declined by 1% in the first quarter the year.
The report stated the Maldivian economy is dominated by the tourism sector, with tourist arrivals peaking towards the beginning of the year and at the end of the year. According to the report, transportation and communication sector is the second largest sector in the Maldives with a percentage share of 13.4% while the third largest is the public administration sector with a share of 8.7%.
Further, it revealed the quarterly GDP of the Maldivian economy also has seasonal effects. Likewise, NBS stated usually GDP growth rate of the second quarter is the lowest with a negative growth and the first quarter is always the highest and a marginal growth is seen in the third quarter due to picking up in the number of tourist arrivals.