The principal natural resource is the marine life of the surrounding seas. The people are ethnically heterogeneous, incorporating Indian, Sinhalese, Arabian, and African elements. Islam is the state religion, and nearly all the people are Sunni Muslims. The language is Divehi, an Indo-European tongue related to Sinhalese. The Maldivian economy is dominated by fishing, which accounts for about 60 percent of all export trade.
Industrial activity is largely limited to fish processing and garment manufacturing.
Maldives is a republic governed under a constitution promulgated in 1968. Executive power is vested in a president, nominated by the Majlis, or Citizens' Council, and then elected every five years by universal adult suffrage. The Majlis, a unicameral legislative body, consists of 40 directly elected members from the 20 administrative atolls and 8 representatives appointed by the president. The president appoints a cabinet that is responsible to the Majlis. The islands were settled by Buddhist peoples from southern Asia.