Bank of Maldives (BML) has stated the outflow of US Dollars from the bank to international card associations has increased due to online trading platforms.
Speaking at an online press conference, CEO of BML Tim Sawyer said the national bank has decided to stop depositing USD coming in to accounts from online trading platforms such as Visa Direct and Mastercard Send, and instead deposit the equivalent amount in Maldivian Rufiyaa. Sawyer said the decision was made to control the outflow of USD from the bank and to ensure there is a sufficient reserve for essential transactions such as Telegraphic Transfers (TT).
The CEO said some customers have been topping up USD to trade wallets using debit and credit cards, and depositing the amount to USD accounts opened in BML through platforms such as Visa Direct. He said the transactions result in the bank paying a large amount to international card associations in USD, while the customers pay for their cards in local currency.
The inflow of USD has decreased significantly due to the low income from tourism amid the COVID-19 pandemic. About 80% of the USD income of the Maldives comes from tourism.