The Maldives Monetary Authority (MMA) has circulated a draft bill on foreign currency exchange to stakeholders, inviting comments on its provisions. The proposed legislation retains the USD 500 per tourist exchange requirement for resorts and introduces significant updates to existing rules.
Under the draft, resorts, liveaboards, and guesthouses will continue to fall under two main categories. Resorts will remain required to exchange USD 500 per tourist, while guesthouses and liveaboards, regardless of size, will now uniformly exchange USD 25 per guest. Previously, guesthouses with over 50 rooms had been subject to the higher USD 500 exchange rule.
A new provision targets businesses with substantial foreign exchange earnings, mandating that those generating USD 20 million or more annually deposit their earnings in local bank accounts, with 25% of their revenue marked for conversion into Maldivian Rufiyaa.
The bill also exempts certain tourists from the exchange requirement, including children under the age of two, guests spending less than 24 hours in the Maldives, and complimentary guests. Tourist vessels registered outside the Maldives are also excluded from the proposed regulations.
The draft has sparked mixed reactions, particularly regarding the USD 500 per tourist rule for resorts, which has faced opposition from over 70 resorts citing operational concerns. However, President Mohamed Muizzu has reaffirmed his commitment to maintaining the requirement, citing its alignment with public interest.
Stakeholders have been invited to submit their feedback via email by Sunday afternoon as the MMA continues to refine the bill before its submission to the Parliament. The proposed changes aim to regulate foreign currency flows and ensure a fair distribution of earnings within the local economy.
