The Bank of Maldives (BML) is working to remove restrictions on e-commerce services and return operations to the previous level, said the Minister of Economic Development and Trade Mohamed Saeed.

Addressing a press conference at the President’s Office today, Minister Saeed said that BML has overcome several challenges arising from the country’s shortage of foreign currency and is now taking steps to improve its services.

The bank has faced a number of challenges around dollar shortages and is working to restore services that were previously impacted by restrictions on foreign currency, the minister said.

Minister Saeed also explained the reasons for the foreign currency shortage in the Maldives and said that the country is under immense financial pressure due to unprecedented debt repayment obligations.

The current administration, in its first three years in office, has had to pay back the largest amount of debt in the country's history, more than what was paid back in the previous decade, he said.

“Despite these challenges the government is working to improve the economic situation of the country and strengthen financial stability,”
Economic Minister Mohamed Saeed

He pointed out that President Dr Mohamed Muizzu’s economic vision for the long-term, until 2040, is to build a stronger and more sustainable economic base for the Maldives.

In response to concerns about e-commerce restrictions, Minister Saeed said efforts to ease difficulties began in the early days of the administration.

He said the government has been making efforts to address the situation, noting the huge increase in foreign currency allocations through BML.

Foreign currency allocations to different sectors have increased substantially compared to previous years, the minister said.

The allocations also include foreign currency assistance to Maldivian students studying abroad, persons travelling for Hajj and Umrah, e-commerce transactions and telegraphic transfer (TT) services.

Minister Saeed stated that the amount of foreign currency allocated in these categories under this government has been higher than the combined amounts of the previous two governments.

The increase shows the government is serious about solving the foreign currency problems and improving the ability of people to access vital financial services, he said.

The minister said that in the coming days BML would provide more details of the measures being taken to lift restrictions on e-commerce and restore services.

The comments come as the public remains concerned on the availability of foreign currency and on restrictions on international online transactions.

The minister did not announce a timeline for a complete restoration of e-commerce services, but confirmed work is underway to ease the restrictions.