K. Male'
|
20 Mar 2020 | Fri 22:31
Office building for Maldives Monetary Authority (MMA)
Office building for Maldives Monetary Authority (MMA)
MMA
MMA introduces measures against Covid-19 pandemic
6 month grace period for those in debt
Central bank's minimum reserve requirement to be lowered to 5%
Acquiring USD150 million via the currency swap agreement with Reserve Bank of India

Maldives Monetary Authority (MMA) - the country's central bank - has announced certain measures that will be implemented to counter the consequent economic impact of the Covid-19 pandemic.

It has been revealed that the MMA has been holding discussions with other banks in the country to counter the impending economic downturn of the pandemic. This includes;

  1. Instructing banks to offer a six-month grace period for all those who have existing loans (interested parties might submit a request at the bank)
  2. Lowering the central bank's minimum reserve requirement to 5% in order to offer liquidity to banks
  3. Arranging for loan facilities in the scenario where financial institutions require liquidity
  4. Increasing the circulation of dollars in the foreign exchange market via resources available to the central bank in order to maintain the currency exchange rate
  5. Acquiring USD150 million via the currency swap agreement between the Maldives' government and the Reserve Bank of India
  6. Requesting assistance from the International Monetary Fund (IMF) through the state

Further, uninterrupted banking and payment system services will be available during the public holidays as well.

While a public holiday has been declared from March 19th to the 26th, the central bank will be providing their banking and payment system services on the 19th، 23rd and the 26th and customers will also be able to withdraw cash.

MMA has assured that the central bank is closely monitoring the country's economy and will ensure that the necessary steps are taken to minimise the negative impact of the pandemic on the Maldives' economy.

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