USD exchange rate is projected to rise to 21 or 22 Rufiyaa in the near future: Amru
Former STO Managing Director Amru has stated that the rising value of the dollar and mismanagement at MPL have driven commodity prices to record highs, significantly increasing the public's cost of living. Criticizing the government's economic policies, Amru highlighted that delays in clearing goods have created major challenges for businesses, asserting that market prices are soaring due to government incompetence. He further noted that the surge in expenses without a corresponding increase in income has placed an immense financial burden on ordinary citizens.
Former STO Managing Director Hussain Amru speaks during a televised talk show. | RaajjeMV
The former Managing Director of STO, Hussain Amru, has warned that the US dollar exchange rate is projected to rise to 21 or 22 Rufiyaa in the near future, leading to a significant increase in the cost of living for the general public.
Speaking on RaajjeTV’s "TV Talk" program, Amru heavily criticized the current administration, noting that its policies have made life significantly more difficult for the public.
Amru stated that the rising value of the dollar has resulted in an extreme increase in the cost of living. He further noted that food prices are expected to continue climbing, leading to higher costs for all essential goods and services.
As you are aware, the US dollar was trading at approximately 17 Rufiyaa at the end of 2023. However, following certain measures implemented by this administration, the exchange rate surged past 20 Rufiyaa. Two years on, the rate has shown no signs of decreasing, representing an increase of nearly 30 percent. Currently, the rate continues to climb, standing at 20.60 Rufiyaa, with projections suggesting it could reach 21 or even 22 Rufiyaa in the near future. This means that an item previously purchased for 100 Rufiyaa now costs 130 Rufiyaa due to the appreciation of the dollar—a very significant increase in price.Former Managing Director of STO, Hussain Amru
Highlighting the government's failure to manage the economy, Amru stated that mismanagement at Maldives Ports Limited (MPL) has led to significant delays in clearing containers. As a result, vessels are now bypassing the Maldives to dock in Sri Lanka instead. He further noted that this situation has caused immense difficulties for businesses, leading to supply shortages and driving up the cost of goods.
Secondly, administrative inefficiencies within the Maldives Ports Limited (MPL) have led to significant delays in container clearing. Consequently, international vessels have begun bypassing the Maldives to offload cargo in Sri Lanka instead. This shift has resulted in delays of three to five months. In fact, some merchants who imported dates specifically for Ramadan still have their shipments stranded at the Sri Lankan port. This logistical bottleneck is a primary driver behind the current surge in prices.Former Managing Director of STO, Hussain Amru
Amru stated that rising expenses and the increasing hardships faced by the public are a direct result of the government's inconsistent policies. He noted that while the cost of living continues to climb, citizens' incomes remain stagnant, forcing them to endure significant financial strain.
