The Maldives Monetary Authority (MMA) has decided to increase the weekly US Dollar allocations to commercial banks by 51 percent. This measure aims to enhance foreign exchange liquidity within the banking system and alleviate the challenges faced by businesses.
Effective for the next three weeks, this strategic intervention is designed to facilitate imports following a shortage in foreign currency, partly caused by a slowdown in the tourism sector due to conflicts in the Middle East. The MMA has previously taken similar steps, increasing dollar support to banks during periods such as the month of Ramadan and the tourism off-season to ensure economic stability.
