MMA has urged all industry establishments to ensure compliance with the Foreign Exchange Act when conducting currency exchange activities and to adhere to the relevant laws and regulations.
Hotelier Maldives
The Maldives Monetary Authority (MMA) has announced the names of the resorts that do not exchange foreign currency in any way as per the Foreign Exchange Act.
According to a statement issued by the Maldives Monetary Authority (MMA), Rahaa Resort Maldives and South Palm Resort Maldives are non-compliant with the requirements of the Foreign Exchange Act.
MMA has urged all industry establishments to ensure compliance with the Foreign Exchange Act when conducting currency exchange activities and to adhere to the relevant laws and regulations. The authority also stated that establishments that have not yet registered with MMA will be given one final opportunity to complete their registration.
While noting that many resorts are exchanging foreign currency in accordance with the law, MMA noted that the compliance report statistics show a 78% full compliance rate, while 20% of the resorts are not fully complying with the Foreign Exchange Act. MMA noted that out of the 20%, many resorts have requested the authority for a concession due to various reasons; however, MMA has urged the resorts to fulfil their obligations as per the set rules.
When it comes to Category B tourist establishments, which include guesthouses, tourist hotels, safaris, and homestays, MMA noted that there is a 48% compliance rate, with 15% not fully complying with the Act. The report further noted that 37% of Category B establishments did not comply with the Foreign Exchange Act at all. MMA noted that out of the 37% are generally medium-sized businesses. MMA noted that the authority is working on improving the compliance rate by giving these establishments more opportunities to fully comply.
When it comes to Category C establishments, which include businesses with an annual revenue of more than USD15 million, MMA noted that 38% followed the Foreign Exchange Act, while 33% were somewhat complying with the Act. 29% of the establishments in this category were highlighted as not complying with the Act. Although these businesses have also applied for concessions, this can only be decided after ameinding the law.
