President says ending dollar use will take decades as Maldives shifts to a full-MVR system

It is expected to take decades to fully convert all domestic transactions to the Maldivian Rufiyaa system, President Dr. Mohamed Muizzu said Monday.

The President made the remarks at a special ceremony held at the President’s Office this afternoon to ratify the Foreign Exchange Bill.

Speaking at the ceremony, the President said the legal tender of Maldives is the Maldivian Rufiyaa, and that it is the government’s direct policy to move towards conducting all transactions in Rufiyaa.

He said this transition requires close coordination among all relevant institutions and cannot be completed in one or two days.

The President added that he believes it will take decades to transform the entire system, noting that the shift is closely tied to Maldives’ investments and loans.

He said the system is expected to be fully replaced by 2035 or 2036, and that the change must be implemented gradually and with great care.

The President noted that Maldives currently operates a “mixed” system in which foreign currency, especially the US dollar, is widely used.

The President’s remarks come as the Maldives Monetary Authority (MMA) aims to convert all domestic transactions to the Rufiyaa by 2030.

This includes ending the practice of paying salaries in dollars and charging dollars for services provided within Maldives.

Governor Ahmed Munawar previously said the change cannot be made “overnight” as it represents a major shift from a system that has existed for nearly 40 to 50 years. However, he said the MMA’s long-term vision, shared by previous governors, is to convert all domestic transactions to the Rufiyaa by 2030.