The Maldives Monetary Authority (MMA) has said 173 resorts have registered under the new Foreign Exchange Regulations with just one resort refusing to comply.

The Foreign Exchange Regulations were introduced on 1st October this year requiring foreign currency earnings to be exchanged to Maldivian Rufiyaa. To support new businesses in adapting to these changes, new businesses are granted an additional 30 days to complete their registration, allowing them time to familiarise themselves with the updated requirements.

Under the new rules, businesses in the tourism industry are divided into two categories. Resorts, hotels and tourist vessels under Category A are required to exchange USD 500 per tourist and guest houses under Category B are required to exchange USD 25 per tourist. This distinction has been made to consider the differences in revenues of different types of tourist facilities.

MMA's new Foreign Exchange Regulations replaced the system that has been in place since 1987. This regulation was introduced to modernise the foreign currency exchange system as well as to increase foreign currency available for individual and business needs.

The exchange process will commence in late January next year based on the number of tourists in October 2024.

Under the new regulation, 60 per cent of foreign currency entering the bank system must be sold to the MMA every week. This is to establish a system that will enable MMA to meet the foreign currency demands of local banks.