MMA Updates Foreign Currency Conversion Deadlines

The Maldives Monetary Authority (MMA) has shortened compliance timelines for converting foreign earnings into local currency, reducing the window for businesses to fulfill mandatory conversion requirements by two months.

The move forms part of broader regulatory updates designed to address foreign currency shortages and ensure foreign exchange proceeds circulate within local MMA-licensed banks. Beyond condensed schedules, recent legislative changes require businesses generating at least USD 25 million annually to deposit earnings into authorised local accounts, while Category-A tourism establishments face a revised requirement to convert 40 per cent of their monthly gross foreign currency revenue into Maldivian Rufiyaa.

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Under previous operational guidelines, the central bank granted businesses until the 28th day of the third subsequent month to complete their foreign currency conversions. Under updated rules, entities must process these transactions through licensed banks before the 28th day of the immediate following month.

To illustrate the change, the MMA noted that September earnings, which were previously due for conversion by 28 December, must now be processed by 28 October.

The adjustment aims to accelerate foreign exchange liquidity within the domestic financial system. The central bank continues to advise all registered entities and foreign income earners to adjust their internal treasury schedules to maintain full compliance with the updated timeline.