Economic Minister Mohamed Saeed has announced that the Maldivian Rufiya is expected to strengthen as China and India begin paying for imports in their own currencies. Speaking to PSM last night, Saeed highlighted that these two countries already import goods worth $1.4 billion from the Maldives, necessitating a significant expenditure in US dollars.
Saeed revealed that discussions are currently underway with the Chinese and Indian governments to facilitate payments in Chinese yuan and Indian rupees for goods imported from these nations. "Then the demand for the dollar will be very low in the future," Saeed explained.
China has indicated its willingness to cooperate in this initiative, while India has also shown interest. Saeed expressed optimism that these changes would lead to a stronger Maldivian Rufiya. "So with this work with these two markets, the result will hopefully be a further strengthening of the Maldivian Rufiya," he said.
The move is seen as a strategic effort to reduce dependency on the US dollar and stabilize the local currency, potentially benefiting the Maldivian economy in the long run.
Saeed revealed that discussions are currently underway with the Chinese and Indian governments to facilitate payments in Chinese yuan and Indian rupees for goods imported from these nations. "Then the demand for the dollar will be very low in the future," Saeed explained.
China has indicated its willingness to cooperate in this initiative, while India has also shown interest. Saeed expressed optimism that these changes would lead to a stronger Maldivian Rufiya. "So with this work with these two markets, the result will hopefully be a further strengthening of the Maldivian Rufiya," he said.
The move is seen as a strategic effort to reduce dependency on the US dollar and stabilize the local currency, potentially benefiting the Maldivian economy in the long run.
