Mohamed Firaq, founder of Inner Maldives, has stated that the most crucial step to take right now is transitioning the Maldives into a single-currency nation using exclusively Rufiyaa, rather than conducting transactions in both US dollars and Rufiyaa.

Speaking at a panel discussion organized by the Ministry of Economic Development and Trade last night, Firaq noted that because the Maldivian tourism industry operates in dollars, a significant imbalance exists between the Rufiyaa and the dollar. He added that the economy relies heavily on the tourism sector alongside 260,000 foreign workers, resulting in substantial outflows of dollars from the country.

Firaq stated that the Maldives' monetary policy needs to change. He noted that while dollar availability itself is not scarce, transitioning to a "single currency" economy is necessary to strengthen the national economy.

"I am not suggesting changes that would pose a threat to existing investors. However, we must mature and migrate toward a single-currency economy. Even if some oppose it, changes must come. For instance, BML facilitates travel transactions. There are also individuals conducting illegal business in the country. Considering all these factors, foreign currency must circulate through a structured system," Firaq said.

Firaq further noted that publicly announcing black market dollar exchange rates is a legally punishable offense in some countries. He pointed out that despite the size of the Maldivian economy, specific laws governing such matters do not exist locally.

"Investments enter the country, but the exact amount brought in is not clearly tracked. Therefore, we need to conduct proper research to overhaul and reform our monetary policy," Firaq said.