Monday 22nd Jul 2024
Dhivehi Edition
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Ministry of Finance

Government Working to Resolve Dollar Deficit

The government is working to find a sustainable solution to the dollar stagnation currently facing Maldives, Finance Minister Dr. Mohamed Shafeeq has said.
Replying to a question about the Bank of Maldives' difficulties in issuing TTs to businesses, the minister said the current dollar deficit is due to the increased demand for dollars during the year-end holidays.
The Minister has highlighted the importance of improving and strengthening the foundations of the economy.
Advisor to the Finance Minister and former MMA Governor, Ahmed Naseer, told Dhiyares that the current dollar stagnation was caused by the past government's wastefulness and negligence in managing the economy.
The local currency has depreciated due to the previous government printing 8 billion MVR. He also noted that the economy has been adversely affected by the waste of money by government agencies and companies.
"Even before coming to power, the President announced some measures to improve the situation. Stop printing money and reduce waste. We will stop printing money. We are now working to reduce and streamline government spending. That too will be implemented," Naseer said.
"We have no intention of raising funds from abroad without careful consideration. Our intention is to raise funds in a way that is not burdensome. We are working to raise money from abroad to solve the dollar shortage," he said.
President Ibrahim Mohamed Solih’s government has printed billions of rufiyaa every year from 2020 until his defeat in the 2023 presidential election. As a result, the rufiyaa depreciated and dollars became difficult to obtain.