AGP Executive Report

Offshore Resources: The Cabinet has moved to create a dedicated legal framework for exploring and extracting oil, gas, minerals and other non-living marine resources in Maldives maritime zones, with a special bill to set permit procedures, ownership and regulation. FX Crackdown: Police have frozen Naid Investment Pvt Ltd accounts over alleged unlicensed foreign currency trading, as authorities step up enforcement against black-market FX activity. Tourism FX Rules: President Muizzu ratified amendments tightening foreign exchange rules, including a requirement for resorts to convert 40% of foreign currency earnings through local banks—while insisting resort employees should keep getting paid in US dollars. Illegal Forex Network: Six expatriates were detained over an alleged unauthorized forex network, with authorities saying MVR 54.4m and USD 1.63m moved through personal accounts over three years. GST on Tourism Services: Muizzu also ratified GST amendments requiring foreign tour operators and travel agents to collect GST for services supplied in the Maldives, including via offshore booking platforms. Travel Trade & Awards: ITB India 2026 opened in Mumbai with Visit Maldives Corporation among participants, while The Standard, Maldives won Best Beach Resort at TTM Awards 2026. Regional Travel Update: Thailand confirmed it will cut visa-free stays from 60 to 30 days for tourists from 60 countries starting September 15, 2026.

Foreign Exchange Crackdown: Police and Immigration detained six expats over an alleged large-scale forex network, with authorities saying MVR 54.4 million and USD 1.63 million moved through personal accounts over three years. Tourism Dollar Rules: President Dr. Muizzu ratified foreign exchange amendments requiring resorts to convert 40% of USD earnings via local banks, while insisting staff salaries must continue in US dollars; the Maldives’ shift to a rufiyaa-centered system is said to take about 10 years. Political Pushback: The MDP vowed “direct political action” against the government over the 40% conversion requirement, calling for dialogue and urging President Muizzu to resign. Energy & Minerals Framework: Cabinet approved a legal framework for oil, gas and mineral exploration and extraction in Maldives maritime zones, with a dedicated bill to set permits and ownership rules. GST for Tourism Middlemen: Muizzu ratified GST amendments making foreign tour operators and travel agents collect GST for services supplied in the Maldives, including via offshore booking platforms. Education Aid: Maldives and Japan signed an MVR 14.7 million grant agreement for scholarship opportunities, targeting public-sector workers. Public Safety Alert: Police urged people not to share a viral video of a 16-year-old girl who fell from an Aman Udhares tower, citing harm to the child’s dignity and privacy. Local Governance Audit: Kaafu Atoll Council paid uniform allowances without CSC approval, alongside other compliance issues flagged in an audit report. Diplomacy & Appointments: Muizzu extended Malaysia Independence Day greetings and appointed Jameela Ali Khalid as the new High Commissioner to the UK.

Foreign Exchange Bill: President Dr. Mohamed Muizzu ratified the Foreign Exchange Bill, banning publication of foreign-currency rates above the MMA reference price and requiring resorts to convert 40% of their dollar income through the banking system, with fines for individuals and businesses and potential criminal prosecution for related offences. Tourism & Economy: Muizzu said the policy is in the public interest to stabilise foreign exchange and curb black-market dollar trading, while Vice President Hussain Mohamed Latheef defended it as “far-sighted”; opposition figures including former President Mohamed Nasheed warned it could bankrupt resorts. Diplomacy (Malaysia): Muizzu sent Independence Day greetings to Malaysia’s King and PM, stressing five decades of friendship and pledging expanded economic engagement. Appointments (UK): Muizzu appointed Jameela Ali Khalid as Maldives High Commissioner to the UK, filling a vacancy left after Iruthisham Adam became Foreign Minister. Crime: Police arrested two men in the Maduvvari drug case after a 28 August operation; court ordered remand for both. Infrastructure & Connectivity: Officials inspected progress on the Greater Malé Connectivity Project, highlighting the Thilamalé Bridge as a major Maldives-India milestone. Wellness & Resorts: Four Seasons Maldives unveiled ŪRJĀ Naturopathy Island, and Six Senses launched its first women’s wellbeing retreat in the Maldives. Sports: Dhiraagu Malé Open 2026 honoured top open-water swimmers after a record turnout of 420+ participants.

Forex Rules & Tourism Fallout: Opposition leader Mohamed Nasheed says the new requirement for resorts to convert 40% of USD earnings could “irrevocably bankrupt” businesses and trigger job losses, while the Maldives Monetary Authority says the law does not legally stop employers from paying salaries in USD. Infrastructure & Diplomacy: President Muizzu inspected the Thilamalé Bridge under the Greater Malé Connectivity Project, calling it a symbol of Maldives-India friendship and a milestone for faster delivery; the Indian High Commissioner echoed that it’s among India’s biggest overseas projects. Local Safety: Maldives Police fined a motorcyclist after a viral video showed reckless driving on Sinamalé Bridge, with the vehicle towed for 30 days and the licence suspended. Sports & Community: Dhiraagu Malé Open 2026 concluded with record turnout of 420+ swimmers, with awards across 250m/500m/1km and a new 500m team relay. Regulation Updates: MMA published new insurance regulations for the Insurance Act, including a required MVR 2 million security deposit. Disability Support: The Riveli Award submission deadline was extended to Sept 17 at 13:00. Tourism Numbers: Maldives welcomed 172,487 visitors this month so far, up 2.2% year-on-year, though total arrivals for the year remain down 3.8%. Marine & Culture: Dusit Thani Maldives won “Best House Reefs” at TTM Awards 2026.

Foreign Exchange Showdown: Vice President Hussain Mohamed Latheef defends Muizzu’s rule requiring resorts to convert 40% of dollar revenue as “public interest” to ease dollar shortages, while opposition leader Mohamed Nasheed warns it could “irrevocably bankrupt” resorts and trigger job losses. Central Bank Clarification: The Maldives Monetary Authority says businesses are not legally barred from paying employees in US dollars despite the new Foreign Exchange Act amendment. Tourism Pulse: Maldives tourist arrivals reached 172,487 so far this month, up 2.2% year-on-year, though total arrivals for the year remain below last year. Tourism Tax Expansion: Parliament approved extending Tourism Goods and Services Tax duties to overseas booking platforms and tour operators, with liability based on where services are supplied in the Maldives. Infrastructure & Trade: Maldives Ports Limited is inviting bids for facilities for the Thilafushi Port project, aimed at moving commercial port operations out of Malé. Climate Watch: MET warns above-normal temperatures from September to November as El Niño strengthens, with knock-on risks for reefs, agriculture and fisheries. Diplomacy: President Muizzu marks the 8th anniversary of the China-Maldives Sinamale’ Bridge, calling it a symbol of trust and unity.

Forex Reform Fallout: Former President Mohamed Nasheed says Parliament’s new 40% USD conversion rule could bankrupt resorts and trigger job losses, while the Maldives Monetary Authority insists businesses can still pay staff in USD despite the amendment. Tourism Numbers: Maldives tourist arrivals reached 172,487 this month, up 2.2% year-on-year, though total arrivals for the year remain below last year. Tourism Tax Overhaul: Parliament approved extending Tourism Goods and Services Tax to overseas booking platforms and tour operators, requiring offshore sellers to register with MIRA and pay tax based on where services are supplied. Port Project Tender: Maldives Ports Limited has opened bids for facility providers for the Thilafushi Port Development Project, with applications closing 10 September. Health Workforce Concern: The Maldives Health Professionals Union warns expatriate healthcare workers were reclassified from “Professional” to “Non-Professional,” risking dependent visas and benefits. Women & Youth: First Lady Sajidha Mohamed urged more women’s participation in national development, while Bank of Maldives reported USD 19.5m in financing for 3,000 young entrepreneurs. Climate Watch: MET warns El Niño could bring above-normal heat from September to November, with knock-on risks for reefs, agriculture and fisheries.

Tourism Numbers: Maldives tourist arrivals topped 172,000 this month, up 2.2% year-on-year to 172,487, though total arrivals for the year still trail last year (1,427,104 so far). Currency & Business Rules: The Maldives Monetary Authority says resorts can legally keep paying employees in U.S. Dollars despite the new 40% foreign-exchange deposit requirement, while the government pushes a longer-term shift toward Rufiyaa. Tourism Tax Overhaul: Parliament approved extending Tourism Goods and Services Tax to overseas booking platforms and tour operators, meaning offshore sellers may need to register and pay tax based on where services are supplied. Ports & Trade: Maldives Ports Limited is inviting bids for facilities for the Thilafushi Port project, with applications closing 10 September. Weather Watch: The MET expects above-normal temperatures from September to November under strengthening El Niño, with mixed rainfall and risks to reefs, agriculture and fish stocks. Local Accountability: Police have referred the Thinadhoo “city status” population fraud allegations to the Prosecutor General’s Office for possible criminal charges. Women & Youth: The First Lady urged wider women’s participation in national development, while Bank of Maldives and SME Digital say 3,000+ youth received about USD 19.5m in financing for entrepreneurship. Culture & Hospitality: Ifuru Island Maldives will host the Ripple & Friends music festival from 17–21 September, and Le Méridien Maldives is partnering with Patémar on ocean-conscious resortwear.

Forex Clarity for Resorts: The Maldives Monetary Authority says Parliament’s new 40% foreign-exchange deposit rule doesn’t legally stop resorts from paying employee salaries in U.S. Dollars, while the wider shift to Rufiyaa will only come after broader macro reforms. Tourism Update: The Maldives saw 172,487 tourist arrivals so far this month, up 2.2% year-on-year, though total arrivals for the year remain slightly below last year. Tourism Tax for Overseas Sellers: Parliament approved extending Tourism Goods and Services Tax duties to foreign booking platforms and offshore tour operators, requiring them to register with MIRA and pay tax on services supplied in the Maldives. Port Project Tender: Maldives Ports Limited has opened a tender for facility providers for the Thilafushi Port Development Project, with applications closing 10 September. Weather Watch: The MET Office warns El Niño could bring above-normal temperatures from September to November, with rainfall patterns varying by region. Youth Finance Boost: Bank of Maldives and SME Digital have funded over 3,000 young entrepreneurs with USD 19.5m in the first phase of a collateral-free financing programme.

Foreign Exchange Reforms: President Dr Mohamed Muizzu defended the government’s dollar measures on PSM’s “Nation Chat”, saying reforms are research-based and will be rolled out after consultations, technical reviews and law amendments to curb black-market practices and improve foreign currency circulation. Tourism Industry Fallout: The Maldives Association of Travel Agents and Tour Operators (MATATO) warned that a proposed GST amendment could hit offshore booking platforms and foreign tour operators, arguing it was introduced without enough consultation and may push business away from the Maldives; meanwhile, the Tourism Employees Association (TEAM) said the 40% dollar deposit rule is hurting workers’ incomes and urged the government to protect tourism staff. Banking & Trade Controls: Maldives Customs signed an agreement with seven banks to verify TT documents for imports and exports, with the MMA and its Financial Intelligence Unit coordinating checks to prevent counterfeit transfers. Tourism Business Updates: Travel Trade Maldives (TTM) 2026 opened in Malé with 130+ resorts and 250+ operators/agents from 30 source markets, as Visit Maldives pushes international partnerships. Leadership Change: Visit Maldives MD Ibrahim Shiuree resigned, and Abdulla Yaasir was appointed as the new Managing Director. Youth & Women: Bank of Maldives and SME Digital provided USD 19.5m in financing to 3,000 young entrepreneurs, while First Lady Sajidha urged wider women’s participation and entrepreneurship opportunities. Tourism Demand Signal: Luxury Escapes said its Melbourne–Malé direct flights will run year-round in 2027 after strong load factors and a 65% jump in Maldives package bookings. Public Safety: Police reported a woman died after a gas leak in Malé, with another victim injured and under treatment.

Foreign Exchange Crackdown: Maldives Customs and all banks signed an agreement to verify telegraphic transfers and curb counterfeit trade payments, with the MMA’s FIU coordinating checks. Dollar Shortage Politics: President Muizzu defended foreign exchange reforms on PSM’s “Nation Chat,” saying measures are research-led and will be rolled out with consultations, while tourism workers warn the 40% USD deposit rule could squeeze salaries. Tourism Governance Shake-up: Visit Maldives MD Ibrahim Shiuree resigned and Abdulla Yaasir was appointed to lead the tourism promotion body; meanwhile Tourism Advisor Mohamed Khaleel also stepped down after the foreign exchange bill passed. Tourism Industry Pushback: MATATO and MATI raised concerns over GST changes targeting offshore booking platforms, warning it could disrupt the international booking chain and hurt local agents. Youth Entrepreneurship: Bank of Maldives and SME Digital funded 3,000+ young entrepreneurs with USD 19.5m in collateral-free financing plus mentorship. Public Safety: Police are investigating a reported gas leak in Malé that killed a 51-year-old woman. Local Legal Case: Thinadhoo city-status allegations involving falsified population figures have been referred to the Prosecutor General’s Office.

Tourism Leadership Shake-up: Visit Maldives Corporation has a new Managing Director, with Abdulla Yaasir appointed as the third MD under the current government after Ibrahim Shiuree’s resignation. Foreign Exchange Reforms: President Mohamed Muizzu defended the government’s dollar measures on PSM’s Nation Chat, saying reforms are research-led and will be rolled out with consultations, while Parliament has passed a Foreign Exchange Bill requiring resorts to convert 40% of USD earnings via the banking system and banning black-market rate publication. Industry Pushback: Tourism groups are warning the reforms could hit livelihoods and bookings—TEAM blamed “foolish policies” for the dollar squeeze, while MATATO warned a separate GST amendment on offshore booking platforms could discourage foreign promotion of the Maldives. Tourism Trade Momentum: Travel Trade Maldives (TTM) 2026 opened in Malé with 250+ operators and agents and 130+ resorts, as Visit Maldives ramps up global meetings and partnerships. Wellness Demand: Mandara Spa and Chavana Spa both launched multi-day wellness programmes across Maldives resorts, reflecting a shift toward longer, structured wellbeing holidays.

Tourism Leadership Shake-up: Abdulla Yaasir has been appointed Managing Director of Visit Maldives Corporation, the third MD change under the current government after Ibrahim Shiuree’s resignation. Foreign Exchange Crackdown: President Muizzu defended the government’s dollar reforms on PSM’s “Nation Chat,” saying changes are research-led and aimed at tackling black-market practices; Parliament also passed a Foreign Exchange Bill requiring resorts to convert 40% of USD earnings via local banks and banning publication of rates above the MMA level. Industry Pushback: Tourism groups are sounding alarms—MATATO warns GST on offshore booking platforms could hit local agents and shift business away, while TEAM says the 40% dollar rule could squeeze tourism workers’ pay. Tourism Trade Momentum: Travel Trade Maldives (TTM) 2026 opened in Malé with 250+ international travel operators and agents, as Visit Maldives ramps up global marketing. Governance & Justice: The ACC called the Proceeds of Crime Bill a historic step to confiscate criminal property and recover illegal gains. Regional Sports: Pakistan confirmed hosting the South Asian Games from April 3–11 next year across Islamabad, Lahore and Peshawar.

Tourism Dollar Rules: Maldives Parliament rejected an emergency motion by MDP Kendhoo MP Mauroof Zakir over the plan to require resorts to exchange 40% of USD earnings via the MMA, with the Deputy Speaker saying the matter is already before Parliament. Currency Debate: Nasheed warned the 40% USD conversion could hurt investor confidence, while other voices argue the dollar crisis is driven by government spending and fiscal discipline failures. MP Pushback: Mauroof also said the policy is being rushed without proper consultation and urged longer-term fixes like expanding Maldivian participation in tourism jobs. Scam Alert: Police Anti-Scam Centre reported 39 scam cases last week, with losses of MVR 457,776.96 and recoveries of MVR 222,755.20; online messaging, phishing links and Facebook Marketplace were common tools. Visit Maldives Change: Ibrahim Shiuree resigned as Managing Director of Visit Maldives, with no reason given. International Spotlight: Chinese Ambassador Kong Xianhua attended Maldives National Day events on Utheemu Island and published a signed article in major Maldivian media.

Tourism Forex Shock: Kendhoo MP Mauroof Zakir criticises the government’s push to force resorts to sell or deposit 40% of US dollar earnings to the MMA, saying it’s rushed and could backfire without proper consultation. Investor Warning: Former President Mohamed Nasheed echoes the concern, warning the 40% USD conversion plan could damage investor confidence, especially where resorts carry USD debts. Currency Policy Push: MMA Governor Ahmed Munawar says the Maldives should move toward rufiyaa-only transactions by 2030, with foreign-currency use now above 40%, and signals amendments to the Foreign Currency Act. Industry Pushback: MATI says the blanket 40% exchange requirement is “not viable,” arguing it unfairly targets the sector over alleged black-market activity. Local Governance & Housing: State Minister Mohamed Nashid reports Rasmalé reclamation has reached 716 hectares reclaimed so far, making it the Maldives’ largest island by land area, with 1,150 hectares targeted overall. Media & Courts: Court blocks return of seized Adhadhu News devices while investigations continue, and maintains a gag order tied to the case. Regional Links: India reviews progress on the Felivaru fisheries project under an Indian line of credit, including cold storage and freezing capacity.

Tourism & FX squeeze: Maldives Monetary Authority Governor Ahmed Munawar says the country must shift domestic transactions to rufiyaa by 2030, noting foreign currency still makes up over 40% of money supply, while resorts and TMA would need to pay salaries in rufiyaa and land rent be converted. Resort dollar rule backlash: Former President Mohamed Nasheed warns that forcing resorts to exchange 40% of USD revenue through the MMA could damage investor confidence, as many resorts carry USD debts; Maldives Association of Tourism Industry (MATI) also calls the 40% conversion plan “not viable,” citing existing USD costs. Black-market crackdown: Home Minister Ali Ihusan says politicians are manipulating illegal dollar exchange; authorities investigated seven entities and claims about USD 77m moved through the black market in nine months. Governance & people: Elections Commission President Mohamed Shakeel marks National Voters’ Day, calling each vote a trust under Islamic principles. Leadership change at Visit Maldives: Ibrahim Shiuree resigns as Managing Director of Visit Maldives, with no reason given. Regional context: India marks UPI’s 10th anniversary, with transaction growth highlighted as a model for real-time payments—Maldives is among the latest adopters.

Currency Reform: Maldives Monetary Authority Governor Ahmed Munawwar says the country aims to shift all domestic transactions to Maldivian rufiyaa by end-2030, citing foreign currency use still above 40% and calling for tourism-linked payments and salaries to move to rufiyaa. Tourism Forex Clash: The Maldives Association of Tourism Industry (MATI) warns the proposed jump to a 40% resort conversion requirement is “not viable,” arguing resorts already pay many costs in dollars and that a blanket rule based on alleged misconduct is unfair. Dollar Black Market Crackdown: Home Minister Ali Ihusaan says seven illegal dollar dealers were investigated and about USD 77m moved through the black market in nine months, urging people to use only MMA-approved exchange channels. Housing Update: Rasmalé land reclamation has reached 716 hectares reclaimed out of 1,150, making it the largest island by land area, with the project targeting housing for about 65,000 people. Sports & Society: Bassam Adeel Jaleel is again transferred to house arrest on medical board recommendation; Dhiraagu Malé Open 2026 concluded with 420+ open-water swimmers. Tourism Leadership: Visit Maldives MD Ibrahim Shiuree resigned, with the reason not yet clear.