Amru: Large-scale suspicious transactions being conducted under government’s dollar policy

Former Managing Director of STO, Hussain Amru, has alleged that suspicious large-scale transactions are being conducted through banks under the government's established dollar policy, suggesting these actions are likely intended to secure funding for the upcoming presidential election.

Speaking on a RaajjeTV talk show, Amru noted that prior to the government formulating the policy to capture dollar inflows from resorts, the exchange rate stood at approximately 18 or 19 Rufiyaa. However, he stated that since the implementation of the policy began, the dollar rate has surged significantly, currently reaching between 22 and 23 Rufiyaa.

Furthermore, Amru noted that although the initial regulation required resorts to exchange either $500 per guest or 20 percent of their revenue at banks—with 10 percent of that being transferred to the Maldives Monetary Authority (MMA)—this system was revised within a week. He pointed out that banks are now only permitted to retain 10 percent of the exchanged funds, while the remaining 90 percent is taken by the MMA, meaning only 10 percent of the foreign currency actually reaches the public through the banking system.

Therefore, they are acting with great deliberation. The bank has also stated that they are issuing loans in US dollars and releasing foreign currency. They mentioned the official exchange rate of 15.42. However, the question remains: who is actually receiving these funds? Certainly, no local businessman is being granted such access. We are at a point where it is difficult to even secure a loan in Maldivian Rufiyaa. If a dollar loan is issued to a particular party, it represents a massive windfall for them. They would likely exchange it immediately the very next day. Consequently, the repayment would ultimately have to be made in Rufiyaa.

Hussain Amru

Furthermore, Amru stated that despite discussions regarding banks issuing loans in US dollars, ordinary businessmen are struggling to secure loans even in Maldivian Rufiyaa. He further alleged that issuing large-scale dollar loans allows certain parties to receive substantial sums of foreign currency upfront. He raised concerns over potential lack of transparency in bank dealings, noting that since these loans are repaid in Rufiyaa without an immediate exchange requirement, it facilitates questionable transactions within the banking system.