Thursday 20th Jun 2024
Dhivehi Edition
News Reports Sports Business
Ministry of economic development and trade

Economic Minister States China is Creating Opportunities to Pay for Goods in MVR

A currency swap facility is being set up to pay for goods imported from China in MVR, Economic Development Minister Mohamed Saeed said.
Speaking at a campaign event for PNC candidate Saudullah Hilmy in Hulhumale on Sunday, Saeed mentioned the state of the country’s economy when the President took office. He highlighted the efforts being made to overcome the situation and the results being achieved.
Speaking about the President's policy to strengthen the Ruifyaa by devaluing the dollar, Saeed said the President had the legal right to print as much money as he wanted between November 17th and December 31st, but he had instructed the Economic Council to stop printing money.
"President Muizzu had the opportunity to print as much money as he wanted from November 17th, 2023, to December 31st, 2023. If he wanted to print Rs 8 billion, Rs 9 billion and Rs 10 billion, he had the opportunity,” he explained.
As part of the President's efforts to devalue the dollar, Saeed mentioned the offer of a currency swap with the People's Bank of China during his visit to China. The currency swap is not to raise money to improve Maldives’ reserve position, but to facilitate trade between the two countries, he said.
China imports $700 million worth of goods to Maldives for various purposes, he said, adding that the currency swap would enable Maldives to pay for its imports in MVR. As a result, demand for the dollar will further decline, he said.
“What we are doing is that once this arrangement is made for importers to Maldives, they will be able to bring goods from China by paying the bank in Maldivian Rufiyaa and then the demand for dollars will decrease,” he said.