Former Tender Board Chairman Ismail Zariyand has stressed the need for urgent and comprehensive economic reforms to address the worsening dollar shortage and rising black market rates in the Maldives.
In a post on X, Zariyand expressed concern over the appreciation of the US dollar, noting that while the Central Bank has fixed the exchange rate at MVR 15.42, the dollar is currently trading at MVR 19.75 in the black market. He warned that the rate could climb to MVR 20.15 by August.
Zariyand warned that the dollar’s rise would increase the cost of essential imports such as oil and food, placing additional burdens on the public.
He proposed temporary measures, such as introducing a 25 percent band—equivalent to MVR 16.06—on the dollar and mandating banks to sell dollars. However, he cautioned that these steps alone would not prevent inflation in commodity prices.
Emphasizing the urgency of long-term solutions, Zariyand said meaningful economic reforms are essential to ease the dollar shortage and stabilize the market.
The black market rate of the dollar has reportedly hit MVR 20 today.
In February last year, Economic Minister Mohamed Saeed said the government aimed to resolve the dollar issue within four months. President Dr. Mohamed Muizzu later remarked that the dollar would stabilize and could be reduced to the official bank rate before the end of 2027.
In a post on X, Zariyand expressed concern over the appreciation of the US dollar, noting that while the Central Bank has fixed the exchange rate at MVR 15.42, the dollar is currently trading at MVR 19.75 in the black market. He warned that the rate could climb to MVR 20.15 by August.
Zariyand warned that the dollar’s rise would increase the cost of essential imports such as oil and food, placing additional burdens on the public.
He proposed temporary measures, such as introducing a 25 percent band—equivalent to MVR 16.06—on the dollar and mandating banks to sell dollars. However, he cautioned that these steps alone would not prevent inflation in commodity prices.
Emphasizing the urgency of long-term solutions, Zariyand said meaningful economic reforms are essential to ease the dollar shortage and stabilize the market.
The black market rate of the dollar has reportedly hit MVR 20 today.
In February last year, Economic Minister Mohamed Saeed said the government aimed to resolve the dollar issue within four months. President Dr. Mohamed Muizzu later remarked that the dollar would stabilize and could be reduced to the official bank rate before the end of 2027.
