- Parliament's Finance Committee approved an amendment fining media up to MVR 500,000 for publishing black-market foreign currency rates.
- Businesses making black-market rates public could face fines of MVR 100,000 to 500,000, while selling above prescribed rates risks up to MVR 1 million.
- MDP MPs opposed the media provisions as press freedom restrictions, following Economic Minister Saeed's claim that headlines fuel rising informal dollar rates.
Media organisations could face fines of up to MVR 500,000 for promoting or publishing foreign currency exchange rates above the rate or band set by the Maldives Monetary Authority (MMA) under an amendment approved today by the Parliament’s Finance Committee.
The amendment makes it an offence to ‘advertise or promote’ the purchase or sale of foreign currency at a rate above the rate or band prescribed by the MMA. Media outlets or anyone found in violation could be fined between MVR 25,000 and MVR 500,000.
In addition, a legal entity or registered business that makes a black-market foreign exchange rate publicly available could face a fine of between MVR 100,000 and MVR 500,000.
The amendment was proposed by PNC MP Mohamed Mamdooh and was approved with the support of government-aligned MPs. Opposition MDP MPs opposed provisions they said could restrict freedom of the press.
MDP MPs supported most of the amendments but objected to the provisions concerning the media.
The committee also approved provisions requiring foreign currency buying and selling transactions to remain within the rates or bands prescribed by the MMA. Selling foreign currency above the prescribed rate could result in fines ranging from MVR 25,000 to MVR 1 million, depending on the seriousness of the offence.
The Finance Committee’s session was held today with limited access to the proceedings, with microphones switched off for much of the meeting.
The bill was initially passed by the committee and sent to the parliamentary floor. However, the government-aligned majority voted yesterday to return it to the committee for further amendments.
The Foreign Exchange Bill was submitted by PNC Holhudhoo MP Abdul Sattar Mohamed on behalf of the government.
The bill also seeks to remove the option for resorts to mark USD 500 per tourist and instead require them to exchange 20 per cent of resort revenue through the formal foreign exchange system.
The latest amendments come after Economic Minister Mohamed Saeed said earlier this month that headlines in some newspapers about black-market dollar rates were contributing to the daily rise in the informal exchange rate.
