Circulation in Maldives reaches MVR 76bn; USD shortage caused by wasteful spending: MP Shamheed
18 އޯގަސްޓު 2026 | އަންގާރަ 14:55Dr. Ahmed Shamheed, the Member of Parliament for South Hulhumalé, has stated that the current dollar shortage is a direct result of wasteful government spending and the covert printing of currency. He further emphasized that overcoming these economic challenges requires the administration to implement austerity measures and maintain transparency by disclosing accurate financial data to the public.
Dr. Ahmed Shamheed, Member of Parliament for the South Hulhumalé constituency. | Majlis
Dr. Ahmed Shamheed, the Member of Parliament for the South Hulhumale constituency, has stated that the current dollar shortage is a direct result of wasteful government spending, noting that the total money circulation in the Maldives has now reached 76 billion rufiyaa.
Speaking at Tuesday's parliamentary sitting, MP Shamheed noted that statistics released by the Maldives Monetary Authority (MMA) show currency in circulation rose from 59 billion MVR in May 2024 to 76 billion MVR at present. Shamheed highlighted that while the money supply increased during this period, there was no corresponding increase in dollar reserves.
Shamheed noted that in May 2024, one billion dollars was chasing 59 billion rufiyaa, whereas today, 600 million dollars is chasing 76 billion rufiyaa. He stated that this clearly demonstrates the current dollar shortage is a direct result of wasteful government spending.
"Money printing" has become a highly technical term today. While the Finance Minister may not fully grasp it, I believe there are AI models far more advanced than any of us. When I posed this question to an AI model today, it indicated that while the MDP government printed money openly and transparently, this administration is doing so surreptitiously through the back door. This "back-door" approach is far more damaging.Dr. Ahmed Shamheed
Shamheed stated that regardless of how many laws are enacted to address the dollar shortage, the issue will remain unresolved unless the government exercises fiscal discipline. He further emphasized that as the value of the Maldivian Rufiyaa continues to decline daily, the relevant ministers must provide the public with regular updates and clear explanations on the situation.
The issue regarding the state’s wasteful and unnecessary spending—such as the Fushidhiggaru reclamation project and the purchase of drones—is a matter of national priority, Mr. Speaker. The problem we face is that while the state should be prioritizing essential needs, such as allocating sufficient foreign currency for the procurement of medicine, we are instead choosing to purchase drones. This is the crux of the crisis we are facing. The Finance Minister cannot deny this reality, and we welcome them to engage in a debate with us on these matters.Dr. Ahmed Shamheed
Furthermore, Shamheed criticized Economic Minister Mohamed Saeed, stating that the government lacks any seriousness regarding the matter. He noted that Minister Saeed’s preoccupation with TikTok even during this situation demonstrates the extent of the government's indifference.
