Black market dollar rate hits MVR 21.80

Aug 6, 2026, 8:28 AM
United States Dollar

United States Dollar

The US Dollar has surged to a record high in the Maldives' black market, reaching MVR 21.80 for the first time in history.

After holding steady at MVR 21.70 since July 29, the black market rate rose to MVR 21.75 yesterday. In less than 24 hours, the rate climbed by another five laari to hit the MVR 21.80 mark.

Following the introduction of a policy by President Mohamed Muizzu mandating resorts and guesthouses to exchange foreign currency, the government had assured the public that the dollar rate would not appreciate further.

However, this current peak represents the highest recorded value for the dollar in Maldivian history.

Even during the COVID-19 pandemic, when the country's borders were closed, the dollar rate only reached a maximum of MVR 19.50, and even then, only for a brief period.

When Muizzu assumed office, the black market rate for the dollar stood at MVR 17.45.

The official exchange rate set by the central bank, the Maldives Monetary Authority (MMA), remains at MVR 15.42.

Based on current black market prices, the rate is now MVR 6.38 higher than the official rate. This represents a 41.37 percent premium over the official exchange rate.

Demand for dollars in the black market has skyrocketed due to the difficulty of obtaining foreign currency through the formal banking system for imports, coupled with the significant amounts of foreign currency required for external debt repayments.

The rising value of the dollar is also driving up the cost of goods and services across the Maldivian market.

Changes in the dollar exchange rate can be monitored via the Adhadhu Dollar Tracker.

Comments

Read More

Latest News

Businesses face challenges in securing dollar support from BML

Bank of Maldives has notified businesses that dollar support for transfers is now strictly subject to availability. Importers face automatic cancellations if accounts lack full invoice amounts, as the bank struggles with a severe foreign exchange shortage. Business owners report receiving zero support and no prior notice of these changes.

Dollar transfers will return to normal within next week: BML

Bank of Maldives expects dollar transfer services to return to normal next week following recent delays caused by a surge in demand. The bank implemented measures to manage unsustainable outflows from Rufiyaa accounts, noting that the issue is a temporary supply imbalance and not a reflection of its overall financial health.

BML denies funding $50 million debt repayment to SBI

Bank of Maldives denied claims that it provided $50 million to the government for debt repayment to the State Bank of India. The bank clarified that no customer deposits or internal resources were used for the payment. BML maintained its financial stability despite ongoing dollar liquidity challenges and warned against spreading misinformation.

Exclusive: Maldives sought extension on $50M India debt

The Maldives government requested a further extension to repay a final $50 million debt installment to India, but the request was denied. Despite the refusal, the Maldives settled the payment last week using its Sovereign Development Fund. This follows previous rollovers and a $50 million grant provided by India earlier this year.

Businesses allege BML is blocking USD transfers

Business owners are accusing the Bank of Maldives of blocking USD transfers to other banks amid a liquidity crisis. Despite having sufficient funds, traders report significant delays in processing payments and transfers via the MRTGS system. BML cited a backlog, reportedly prioritizing essential imports like food and medicine.

Government settles final $50 million debt to SBI

The government has fully repaid a $150 million debt to the State Bank of India, settling the final $50 million installment this month. The debt, originally incurred in 2019, was cleared in three stages under the current administration. This payment is part of a broader $2.3 billion effort to service foreign debt over the last two years.

Govt urged to suspend dollar mandate and tax changes

Tourism advocacy group Destination Future is urging the government to suspend a planned 40% foreign currency conversion mandate and new tax changes for tour operators. The group warns these measures could cause irreparable damage to the industry, which is already struggling with declining occupancy and rising supply costs.

Newsletter

Get the latest news delivered straight to your inbox