Economic Development Minister Mohamed Saeed has blamed the current dollar shortage and rising exchange rate on the economic policies of previous administrations.
Speaking in Parliament, Saeed said the shortage stems from the printing of additional currency during former President Ibrahim Mohamed Solih’s administration, warning that he had predicted its long-term consequences. He also pointed to the 2011 decision under former President Mohamed Nasheed to allow the dollar exchange rate to float, which raised the official rate from MVR 12.85 to MVR 15.42.
Saeed said President Dr. Mohamed Muizzu’s administration is working to eliminate the dollar black market, reduce the country’s debt burden, and build a stronger economy. However, the continued rise of the dollar above MVR 20 on the black market has increased import costs and driven up prices, prompting growing public concern over the government’s ability to fulfill its pledge to stabilize the exchange rate.
