The Maldives Monetary Authority has expanded the amount of foreign currency sold to commercial banks, seeking to ease pressure on food imports ahead of Ramadan.
In a statement released on Wednesday, the central bank said it would increase foreign currency sales above standard rates for a three-week period starting Tuesday. The additional allocation represents a 32 percent rise compared to normal levels.
According to the MMA, the measure is intended to address seasonal increases in demand for foreign exchange, particularly for the import of essential food items during Ramadan. Importers typically require greater access to dollars during this period to settle payments with overseas suppliers and maintain stock levels in the domestic market.
The central bank stated that the increased allocation is expected to assist importers in meeting payment obligations, reduce supply bottlenecks and help ensure the availability of key goods locally. It described the move as part of ongoing efforts to maintain foreign exchange stability and support the banking sector.
Despite the additional supply, pressures in the parallel market persist. For many individuals and small businesses, access to foreign currency through formal channels remains limited, raising questions about how far short-term injections can stabilise broader market dynamics.
The development comes at a time when food security and price stability are closely watched, particularly during Ramadan when household consumption typically increases.
