The Maldives Monetary Authority recently published the Regulation on Foreign Currency (the “Regulation”) that would be effective from 01 October 2024. With the implementation of this Regulation, the long-standing Monetary Regulation (1 March 1987) is repealed.

The Regulation introduced several new requirements on the businesses operating in the tourism sector. These include limitation on carrying out foreign currency transactions in the Maldives (with exemptions), Mandatory deposit of realised foreign currency sales proceeds and Foreign currency conversion obligations.

This brief outlines the new requirements and compliance obligations of this Regulation.