Under this initiative, customers' invested US dollars will be utilised to facilitate the bank's commercial operations, enabling investors to earn attractive returns while supporting the sustainability of essential banking services.
BML
The Bank of Maldives (BML) has officially launched a new US Dollar Investment offering that enables customers to earn competitive returns by investing their US dollars. The invested funds will support the bank's fee-generating commercial activities while delivering attractive returns to investors.
Under this initiative, customers' invested US dollars will be utilised to facilitate the bank's commercial operations, enabling investors to earn attractive returns while supporting the sustainability of essential banking services.
Information on the daily investment pools, each offering different rates of return, is available from today onwards through the BML Mobile App and Internet Banking. Both digital platforms have been enhanced to enable customers to complete their investments seamlessly online.
Upon investing, customers will receive the equivalent value in Maldivian Rufiyaa (MVR) instantly credited to their account. The profit earned from the investment will then be credited to the customer's MVR account on the following day. With a range of investment pools available, customers can earn returns of up to 25 percent.
Over the past five years, the volume of US dollars sold for debit and credit card transactions relating to overseas purchases and services has increased 3.7-fold, reaching an average of USD 39.3 million per month this year. During the same period, the number of customers using these services has more than doubled. Today, between 250,000 and 300,000 customers make foreign transactions every month using their MVR cards.
He further noted that the primary driver behind this growth has been the rapid increase in cross-border e-commerce by Maldivians.
This trend reflects the country's rapid adoption of digital innovation. Advances in digital payment systems, the expansion of global online marketplaces, and significant improvements in telecommunications and logistics have made international shopping more accessible and affordable than ever before. Maldivians have consistently embraced these technological advancements, while the increasing affordability of cross-border shopping has further accelerated this trend. This growth also reflects the continued advancement of the Maldivian economy, particularly in digital banking and financial services. As prosperity increases, Maldivians are increasingly able to participate in the global digital marketplace.
The CEO further noted that growth in card transactions directly contributes to the bank's profitability.
The card business is highly profitable for the bank, and growth in card transactions directly contributes to our profitability. However, our ability to facilitate these transactions depends on our US dollar income and the foreign currency we are able to acquire. Over the past 36 months, the Bank has sold approximately USD 1.6 billion to meet personal foreign currency requirements and business transactions, with nearly 60% of that amount allocated specifically to card payments. As demand continues to grow each month, sustaining these volumes of dollar sales becomes increasingly challenging. Nevertheless, we do not wish to introduce measures that would disrupt or restrict a service relied upon by such a large segment of our customers. Our objective is to ensure that this service remains sustainable.
Explaining the rationale behind the new offering, the CEO noted that to achieve this, the bank has created an investment model that benefits investors, card users and the Bank alike.
By encouraging customers with US dollar income to invest in these high-yield investment pools, the Bank can use those invested funds to facilitate e-commerce retail transactions and other fee-generating activities. After deducting operational costs, the resulting income is distributed to investors as returns. This allows the Bank to secure the foreign currency needed to meet the essential needs of our customers, including card payments, e-commerce transactions and the import of goods. The result is a sustainable ecosystem that delivers value to investors, customers and the Bank.
The event included a live demonstration of the US Dollar Investment offering, allowing participants to experience the fully digital investment process available through the BML Mobile App and Internet Banking. Following the demonstration, the CEO answered questions from members of the media and attendees, providing further insights into the significance of the new investment product and its role in supporting the Bank's long-term strategy to sustainably meet customers' US dollar needs.
