Resort Chains, Construction Firms and Political Figures Linked to Dollar Black Market: Minister

Resort chains, construction companies and some political figures have been linked to the Maldives’ illegal foreign currency market, with Homeland Security and Technology Minister Ali Ihusaan warning that authorities will take legal action against those involved.

Speaking at a joint press conference with relevant government agencies and the Maldives Monetary Authority (MMA), Ihusaan said investigations had identified seven unlicensed entities that collectively sold around USD 76 million through the black market over the past nine months.

The Minister said the Maldives currently has 63 licensed foreign exchange businesses, but authorities have found several parties conducting currency exchange without the required permits.

He said one resort chain alone had sold approximately USD 4 million through the black market during the nine-month period. Construction companies earning revenue in US dollars were also among those identified, while some political figures were allegedly involved in influencing black-market exchange rates.

Ihusaan said operating a business requiring a permit without obtaining one is a criminal offence under Maldivian law. He further warned that profits generated through criminal activity could amount to money laundering.

The government’s crackdown comes as the Maldives continues to face pressure on the availability of US dollars in the formal market. Authorities have been increasing monitoring of money changers and foreign-currency earners to ensure dollars are channelled through the regulated financial system.

Ihusaan stressed that the government would investigate the parties involved and pursue legal action, noting that unauthorised foreign exchange transactions can attract MMA penalties ranging from MVR 5,000 to MVR 1 million.