The National Payment System Act has been ratified.

President Ibrahim Mohamed Solih ratified the bill on Tuesday, following which the act has been publicized in the government gazette.

The National Payment System Act, which was passed by the People’s Majlis on April 27 during its 35th sitting of the first session of the ongoing year, will come into effect within four months from the date of ratification.

The newly ratified legislation will focus on enhancing the existing national payment system and govern its operations, all the while providing ways to establish inter-operability within payment systems, clearing systems, installment systems and relevant bodies that provide similar services.

In addition, the legislation prioritizes the maintenance of customer confidentiality, going on to outline a framework that serves this purpose.

With an aim to promote healthy competition amongst service providers, the act also confers powers of overseeing and regulating the National Payment System to the Maldives Monetary Authority (MMA), which has also been tasked with the responsibility of enforcing the law.