The Maldives Monetary Authority (MMA) has revoked the money-changing licence of Express Money Exchange Private Limited after regulatory supervision found violations of the Money Changing Business Regulations.
The decision, announced on Thursday, 20 August, comes as authorities strengthen oversight of the foreign exchange market and seek to curb unregulated dollar trading.
The MMA did not disclose the specific violations but warned all parties involved in foreign exchange transactions to comply with existing laws. It said further legal action would be taken in coordination with enforcement agencies against entities violating the regulations.
The action comes amid criticism over the widening gap between the official US dollar exchange rate and significantly higher rates quoted on the black market.
The government has maintained that a key part of the problem is the large volume of foreign currency circulating outside the banking system. Recent foreign exchange reforms are intended to channel more tourism-generated dollars through local banks and increase official dollar availability.
The latest licence revocation signals that enforcement is also being tightened as authorities seek to reduce illegal trading and bring more foreign currency into the regulated financial system.
