President Muizzu Ratifies Insurance Act and Amendment to National Payment System Act

President Dr Mohamed Muizzu ratified the Insurance Act and the First Amendment to the National Payment System Act on Thursday.

The People’s Majlis passed both bills during its 26th sitting of the second session of 2025, held on 18 August.

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The First Amendment to the National Payment System Act grants the Maldives Monetary Authority (MMA) statutory authority to develop and enhance the national payment infrastructure. It aims to strengthen the financial system and support the introduction of innovative payment services through modern technology. According to the President’s Office, to carry out these responsibilities, the MMA may establish an independent company or form partnerships and joint ventures.

The amendment also prohibits individuals from operating systems covered under the Act without authorisation from the MMA. It further bans the solicitation of such services and empowers the MMA to impose fines ranging from MVR 100,000 to MVR 10 million for violations. The amendment has been published in the gazette and is now in effect.

The newly ratified Insurance Act establishes a legal framework for the provision of insurance services in the Maldives. It introduces licensing requirements for insurance companies and intermediaries, as well as regulatory and supervisory measures to ensure oversight of the sector.

The Act outlines provisions for licensing procedures, company management structures, and operational principles. It also sets standards for intermediaries, requirements for record-keeping and audits, and measures for financial supervision. Additionally, it provides guidelines on market conduct, dispute resolution, and the appointment of administrators where necessary.

Following ratification, the Insurance Act has also been published in the Government Gazette and has come into force.