Maldives Monetary Authority (MMA) has said that no changes have been brought to the forex regulation for tourism industry.
Maldives Monetary Authority (MMA) has said that no changes have been brought to the forex regulation for tourism industry.
MMA made this statement in response to speculation on social media, saying that changes had been brought.
MMA said that a large number of companies had already registered under the new regulation which was published in the gazette on October 1.
MMA said that implementation of the regulation would be conducted in consideration of public views, stating that all companies and individuals have the option of raising discussions.
Last Thursday, MMA announced that 173 resorts out of the 174 operating in the country have registered under the regulation.
Meanwhile, major resort operators such as Champa Brothers and Universal Enterprises have sent letters to MMA stating that the regulation cannot be complied with.
However, President Dr Mohamed Muizzu has stated that no changes will be brought to the regulation, adding that abiding by laws and regulations are compulsory upon all.
The government maintains that implementation of this regulation will bring significant benefits to the economy.
In his speech at the ceremony marking one year in office, President Muizzu stated that last year alone, the tourism sector earned USD 4.5 billion in revenues. Of this, only 1.5 percent was exchanged through local banks. With the regulation coming into effect, this figure will raise to between 15 to 20 percent, he said.
The regulation mandates income generated from tourism to be deposited into local banks and to have a certain percentage exchanged via these banks, while the banks are required to sell 60 percent of foreign currency received each week to MMA.
Category A includes resorts, hotels and tourist vessels. Those that fall within this category must deposit USD 500 per guest every month in a local bank.
Category B includes guesthouses, which must deposit USD 25 per guest every month in a local bank.
As per the regulation, dollar deposits must commence from end of January 2025 onwards. In January, the deposits must meet the number of guests the resort accommodated in October.
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