The price of a dollar on the black market has climbed to MVR 19.30 per dollar, with banks reducing their dollar support for import businesses to five percent.
Some businessmen who spoke on condition of anonymity said the banks did not say why they had reduced dollar support for Telegraphic Transfer (TT).
This could lead to higher purchase costs to import the goods and higher selling prices in the market.
This comes amid a decision by the Maldives Monetary Authority (MMA) to take 90 percent of dollars deposited by tourism businesses and major businesses earning dollars.
Banks previously sold 60 percent of dollar deposits to the central bank every week.
However, from June 1, the amount will be increased to 90 percent to facilitate foreign currency for businesses, the central bank stated.
"This change is to facilitate the banks to provide foreign exchange requirements to businesses in a more robust manner through the weekly foreign exchange sales by the authority to banks," the MMA said.
Banks have not officially commented on the reduction in dollar support for businesses, but they have the authority to determine the percentage of dollar support given to businesses.
Banks determine this percentage based on the amount of dollars deposited in the banks and the amount of dollars provided by the MMA to the banks to maintain the exchange rate.
Some dollar dealers said the dollar is appreciating mostly due to the low tourism season. The low season in tourism is from May to November every year.
President Dr. Mohamed Muizzu earlier said dollars will be available at the official rate starting in 2027, with the measures being implemented. He said necessary steps will be taken to achieve this goal.
The official dollar rate is MVR 15.42 per dollar. But the dollar rate in the black market is currently MVR 3.88 more than the official rate.
