Kaafu Atoll
Kaafu Atoll shows airport-driven concentration like reef formation: 43% of Maldives arrivals funnel through one atoll because infrastructure attracts development that attracts more infrastructure.
Kaafu Atoll demonstrates how airport proximity creates concentrated tourism development. This central atoll hosts Velana International Airport and receives 43% of all Maldives visitor arrivals, despite the nation comprising over 1,000 islands spread across 26 atolls. The geographic concentration is self-reinforcing: more resorts locate here because of airport access, and the airport expands because resorts concentrate here. A $100 million Saudi-funded runway expansion reflects this feedback loop.
By early 2025, Kaafu Atoll held the highest inventory of both resorts and guesthouses, with new developments continuing. The Centara Grand Lagoon Maldives and JW Marriott Kaafu Atoll Island Resort opened in March 2025, adding to over 21,000 keys across 176 national resorts. The government approved five additional Kaafu resorts targeting specialized tourism niches, with completion expected by 2026. South Malé Atoll within Kaafu hosts Maafushi, now the unofficial capital of budget tourism where guesthouses, dive operators, and economy hotels have created an alternative to luxury resort islands.
The atoll's dominance reflects infrastructure path dependence. Early airport construction attracted early resorts, which attracted airport expansion, which attracted more resorts. Today's Maldives achieved 2.05 million arrivals in 2024, a record high, with China, Russia, and the UK as leading markets. The sector targets $5 billion in tourism revenue by 2025 and 2.4 million visitors by 2028. Yet this concentration creates fragility: Kaafu Atoll's coral ecosystems face tourism pressure while outer atolls struggle to attract development. The atoll exemplifies how infrastructure investment creates self-perpetuating geographic advantages.