The official reserves of the Maldives reached USD 860 million in September, reflecting an increase of USD 50 million compared to August, according to the latest figures released by the Maldives Monetary Authority (MMA). This represents a month-on-month rise of 6 per cent.

The central bank reported that while reserves strengthened, short-term foreign exchange obligations also grew, climbing from USD 738.6 million in August to USD 781.8 million in September. After accounting for these liabilities, usable reserves stood at USD 194.3 million, up slightly from USD 188.6 million the previous month.

In addition to official reserves, securities investments and other foreign currency assets not included in the official tally amounted to USD 116.6 million in September. The MMA noted that growth in reserves was supported by increased foreign exchange earnings from tourism, as well as the ongoing use of a USD 400 million currency swap arrangement with the Reserve Bank of India under the SAARC framework.

Authorities stated that measures under the new foreign exchange law, including the retention of 60 per cent of dollar inflows from banks, are also contributing to stronger reserves. The Government and central bank emphasised that improving reserves is essential for easing debt repayment pressures and maintaining economic stability.