Officials fail to answer RaajjeTV's inquiries regarding USD crisis, opting instead to deflect and misrepresent the issue

The Minister of Economic Development, Transport and Trade Mohamed Saeed, has diverted the focus of the ongoing dollar crisis, failing to provide direct answers to inquiries posed by RaajjeTV.

During a press conference held at the President's Office on Monday, a RaajjeTV journalist directed a question to the President, referencing remarks made by President Dr. Mohamed Muizzu during the "Raaiyithunnaa Eku" podcast hosted by the President's Office on March 27, 2026.

The Minister was questioned on whether action would be taken against President Muizzu under the Foreign Exchange Act, following his admission that state-owned enterprises had been purchasing dollars from the black market. Additionally, the Minister was asked whether the value of the dollar would decrease as the President had predicted.

In response to these inquiries, Minister of Economic Development, Transport and Trade Mohamed Saeed stated that the questions raised by RaajjeTV align with the government's ongoing narrative. Comparing the debt repayment records of previous administrations, Minister Saeed noted that while $191 million was repaid during the first two and a half years of President Abdulla Yameen’s administration and $428 million during President Ibrahim Mohamed Solih’s term, President Muizzu’s administration has already settled debt amounting to $1.29 billion or $1.3 billion.

Minister of Economic Development, Transport and Trade Mohamed Saeed speaks during a press conference held at the President's Office on Monday. | President's Office

Furthermore, Minister Saeed stated that the current administration is facing the consequences of the previous government's decision to suspend the Fiscal Responsibility Act and inject eight billion Rufiyaa into the market through money printing, alongside the execution of large-scale, non-revenue-generating projects. Saeed also noted that while the previous administration added a significant number of political appointees to the payrolls of state-owned enterprises, the current government does not intend to dismiss any employees for political reasons.

Addressing the issue of the parallel market, commonly known as the black market, Minister Saeed stated that it involves both licensed entities and those operating illegally without authorization. He further noted that authorities are currently investigating the sources supplying dollars to these parties. The Minister also requested to return to the main topic of the briefing, clarifying that today’s press conference was specifically held to discuss the structural changes proposed by the Governor of the Maldives Monetary Authority (MMA).

Furthermore, during the press conference, Minister of Finance And Public Enterprises Hassan Zareer stated that determining criminal liability is not the responsibility of the Ministry of Finance, but rather the mandate of the authority implementing monetary policy. Minister Zareer further asserted that the government would intervene if state-owned enterprises were found to be purchasing dollars on the black market. He clarified, however, that individuals who are aware of or speak about the existence of a black market should not be automatically viewed as criminals.

While Minister Saeed and Minister Zareer spoke in this vein, President Muizzu stated during the podcast hosted by the President's Office on March 27, 2026, that it was clearly evident the dollar black market had been both recognized and utilized by the government for official transactions.

"Up until now, state-owned enterprises have been forced to procure dollars through the black market. However, this practice has now been significantly curtailed. By mid-year, these SOEs will no longer be purchasing any currency from the so-called parallel or black market. This shift is expected to lead to a substantial decrease in the dollar exchange rate."

President Muizzu

President Muizzu’s remarks come at a time when it is strictly prohibited to buy or sell foreign currency at rates exceeding the official exchange rate or outside the trading band established by the Maldives Monetary Authority (MMA). Engaging in or attempting to facilitate such transactions through any medium is an offense under current regulations. The legal penalties for these violations range from fines of MVR 25,000 to MVR 1 million, depending on the severity of the offense.