This administration is driving the Maldives toward bankruptcy: Nasheed
30 އޯގަސްޓު 2026 | އާދީއްތަ 10:34Former President Mohamed Nasheed has expressed concern that the new foreign exchange regulations, which mandate businesses to convert 40 percent of their foreign currency earnings, could lead to bankruptcies and negatively impact employment. These regulatory changes have faced significant pushback from major industry bodies such as MATI and MATATO, while resort employees are also signing a petition to oppose the disbursement of salaries and service charges in Maldivian Rufiyaa.
MDP Chairperson and former President Mohamed Nasheed. | raajjemv
The Chairperson of the opposition MDP and former President, Mohamed Nasheed, has stated that President Dr. Mohamed Muizzu’s administration is driving both the nation's business community and the country itself toward bankruptcy.
In a post on X, he stated that the nation's natural resources can only be leveraged to create wealth when both entrepreneurs and the workforce are present and engaged.
Highlighting that the wealth acquired by an entrepreneur is a result of their own hard work, Nasheed stated that such prosperity is intrinsically linked to the economic well-being of the entire nation. He further warned that mandating businesses to convert 40 percent of their foreign currency earnings into Maldivian Rufiyaa could make these ventures financially unsustainable and lead to bankruptcy.
He stated that the bankruptcy of a businessman would lead to job losses for others and negatively impact all related businesses within the resort industry. Nasheed further asserted that the current administration is leading the Maldives toward bankruptcy.
The People's Majlis passed an amendment to the Foreign Exchange Act last week, mandating that resort employees exchange 40 percent of their US dollar earnings into local banks.
Resort employees have begun signing a petition opposing the recent amendments that would require service charges and salaries to be paid in Maldivian Rufiyaa. In a statement released on social media Friday, the Tourism Employees Association of Maldives (TEAM), which is spearheading the movement, urged staff from both member and non-member resorts to join the petition.
In addition to TEAM, the Maldives Association of Tourism Industry (MATI) and the Maldives Association of Travel Agents and Tour Operators (MATATO) have also expressed concern over the proposed legislative amendment.
