The Maldives Monetary Authority (MMA) has stated that a significant portion of the loans issued by banks to the private sector is for central credit cards and personal loans for purchasing goods.

According to the Economic Update Report released by the MMA on Tuesday, the amount of loans issued by banks to the private sector increased by two percent by the end of last month. By the end of March, the figure stood at eight percent.

MMA said that personal loans increased by 27 percent by the end of last month. The Central Bank attributed this to an increase in credit card usage and loans taken for purchasing goods.

MMA also noted that loans issued to sectors such as tourism, construction, and real estate also increased last month.

Banks operating in the Maldives introduce various types of lease facilities and occasionally offer credit card promotions.​​​​​​​​​​​​​​​​