Saeed: Efforts underway to resolve dollar issues in collaboration with other nations

Economic Minister Mohamed Saeed, on Sunday, revealed that many efforts are being undertaken to guarantee Maldivian Rufiyaa’s value before the US Dollar.

Speaking at the ceremony held on Sunday to sign the Memorandum of Understanding between the Maldivian government and Dubai’s International Freezone Authority (IFZA) to develop the special economic and financial services zone planned for Fonadhoo and the Maldives economic gateway planned for Ihavandhippolhu – Minister Saeed said the project will aid in resolving the prevailing issues in the Maldivian foreign exchange market.

The Minister also noted that efforts were being undertaken to ensure Maldivian Rufiyaa is a currency with great value before the US Dollar, adding these efforts were being undertaken in collaboration with foreign nations.

“In this regard, we are undertaking significant efforts in collaboration with China and India, which are huge markets,” he added.

Minister Saeed expressed hope to produce a result that the citizens can be proud of over the course of the next five years. He also expressed confidence that the improvements will be felt by businesses.

The current administration has stated that they are taking various measures to strengthen the Maldivian economy, which they have described as presently in a delicate situation. One of such measures implemented in this regard has been stopping the print of new banknotes.

President Dr. Mohamed Muizzu has previously remarked that the value of Maldivian Rufiyaa was maintained as a result of the measure, which also aided in decreasing the US Dollar rate.

The previous administration had suspended articles of the Fiscal Responsibility Act in April 2020 paving way to print new banknotes in light of the economic woes posed by the COVID-19 pandemic. The suspension was later extended twice, with the government allowed to print up to MVR 4.4 billion.

Although the central bank MMA has declared MVR 15.45 conversion rate, it is presently impossible to purchase US Dollars at the rate.