Less than 24 hours after ruling party MP Ibrahim Falah claimed that there has never been an easier time for citizens to purchase dollars at bank rates, the black market exchange rate has surged past MVR 21.
Earlier last week, the dollar was trading at MVR 20.50. By the end of the week, the rate had climbed to MVR 20.80, and as this week began, the black market rate for purchasing dollars exceeded MVR 21. Speaking on a television channel yesterday, Falah insisted that the public currently has access to dollars at official bank rates.
"There has never been an era where it was easier for the general public to obtain dollars at the bank rate," Falah claimed.
A businessman speaking to Adhadhu noted that the price of the dollar is likely to rise even further, coinciding with the upcoming school holidays.
Under President Mohamed Muizzu’s administration, the value of the Maldivian Rufiyaa has depreciated significantly, leading to an acute dollar shortage. The spike in the dollar rate comes at a time when foreign currency inflows have decreased, dollar expenditure remains high, and the country faces record-level foreign debt repayments.
In an attempt to resolve the dollar crisis, the government has mandated that resorts exchange a fixed amount of foreign currency. However, despite these measures, the price of the dollar has continued to climb.
Lowering the dollar rate to MVR 15.42 or below was a key pledge made by Muizzu and his Economic Minister, Mohamed Saeed. However, Saeed has recently claimed that the failure to bring down the rate is due to the actions of previous administrations.
