President Dr Mohamed Muizzu has announced that banks have received USD 25 million in conversions this month under the Foreign Currency Act requiring tourism businesses to convert their dollars.

During a meeting with Hoarafushi residents on his Haa Alifu Atoll tour tonight, the President revealed that according to the central bank, tourism sector businesses had converted over USD 25 million to banks as of Monday under the regulation implemented in October. Yesterday marked the deadline for converting a specified portion of October's tourism revenue.

"With the exception of a very few resorts, most resorts in the Maldives have been complying and converting dollars regularly. According to the latest update I received from the MMA Governor on Monday, over USD 25 million has been converted to banks in just one month," said President Dr Muizzu.

The Foreign Currency Act, which came into effect this year, has replaced the foreign currency regulation that was implemented last October.

The President emphasised that the longstanding foreign currency issue in the Maldives will be resolved if entities earning foreign currency continue to make regular conversions to banks. He assured that any non-compliant parties would be investigated, and the law would be enforced equally across all entities.

According to the President, within approximately six months of consistent dollar conversions to banks, businesses will have better access to needed dollars. This will also streamline foreign currency arrangements for students studying abroad and others.

He had previously outlined that these changes would increase dollar accessibility for the general public and small and medium-sized enterprises. The planned improvements include:

Under the initial foreign currency regulation, resorts must convert USD 500 per tourist to banks, whilst guesthouses are required to convert USD 25 per tourist.