Parliament passes amendment requiring resorts to exchange 40 percent of foreign currency earnings
26 އޯގަސްޓު 2026 | ބުދަ 11:57Parliament has passed amendments to the Foreign Exchange Act, mandating resorts to convert 40 percent of their monthly foreign currency earnings into local banks. Under the new regulations, guesthouses are required to exchange either $25 per tourist or 20 percent of their total revenue, while the advertising of foreign currency exchange at rates exceeding the officially sanctioned limit is now strictly prohibited.
Parliament has passed an amendment to the Foreign Exchange Act, mandating resorts to convert 40 percent of their monthly foreign currency earnings into local banks. | Social Media
The People's Majlis has passed an amendment to the Foreign Exchange Act, removing the previous provision that allowed currency conversion at a rate of $500 per tourist and instead mandating resorts to convert 40 percent of their monthly revenue.
The initial amendment proposed by the government through Holhudhoo MP Abdulsathar Mohamed seeks to revise the Foreign Currency Act by removing the current discretionary provision for exchanging $500 per tourist. Instead, the amendment mandates that resorts must exchange 20 percent of their total monthly revenue.
However, after the bill was passed by the committee and forwarded to the floor, it was sent back to the committee for further amendments. While the committee was reviewing the bill, the Governor of the Maldives Monetary Authority (MMA), Ahmed Munawwar, announced during a press conference last Monday that he would propose an amendment to the Foreign Exchange Act. This amendment would require resorts to convert 40 percent of their US dollar earnings into Maldivian Rufiyaa through local banks.
Furthermore, Munawwar stated that an amendment would be proposed to change the dollar conversion requirement from a quarterly basis to a monthly cycle.
Consequently, it has been resolved that by September 28, regulations will be amended to require resorts to exchange 40 percent of their monthly foreign currency earnings through the banks. Additionally, amendments will be introduced requiring tourist hotels and guesthouses to exchange foreign currency at a rate of $25 per tourist or 20 percent of their total monthly foreign currency income.
Furthermore, the amendments include a prohibition on advertising or promoting the purchase and sale of foreign currency at rates exceeding those officially mandated by the Maldives Monetary Authority (MMA).
The bill was passed during Wednesday's People's Majlis session with a majority of 47 members. A total of 12 members voted against the legislation.
