A bill has been presented to parliament seeking to fortify the Maldives Monetary Authority (MMA) by amending the MMA legislation.

The government endorsed bill was proposed by the MP for Keyodhoo constituency, Hussain Qasim.

While speaking in regard to the bill, Speaker Mohamed Nasheed noted that despite the numerous amendments made to the MMA legislation, the laws are enforced in exactly the same manner as when it was first prepared and put into effect in 1981.

During the debate portion for the bill, MP for Maradhoo constituency, Ibrahim Shareef stated that irregularities in the legislation have hindered the growth and adaptation of the MMA to the changing global financial market. Highlighting the importance of the amendments, he declared his support for the MMA to be given the authority to regulate non-banking financial institutions.

MP for Vilufushi constituency, Hassan Afeef, contributed to the debate by noting that sovereign bonds and other such financial instruments can also be used to regulate inflation and should not only be issued to obtain funds for the state budget as it currently being used.

The state-sponsored bill was drafted with the objective of adapting the MMA into a modern central bank.

The legislation seeks to evolve the MMA's board of directors into a creative yet professional group, enforce policies that help the growth of the economy and provide the MMA with the authority to develop the financial sector.

Moreover, the bill aims to equip the MMA with the authority to develop the government's securities market as an agent of the state as well as regulate and supervise the market.