MMA fines MS Finance MVR 500,000, suspends currency exchange licence

The Maldives Monetary Authority (MMA) has fined MS Finance Currency Exchange MVR 500,000 and suspended its licence for violating regulations governing foreign currency exchange transactions.

In a statement issued on Sunday evening, the central bank said it had taken supervisory action against MS Finance for breaching foreign exchange regulations.

The MMA has previously suspended the licences of currency exchange businesses found to be trading foreign currency outside the exchange rate bands established by the central bank.

Under the law, businesses that conduct foreign currency transactions at rates exceeding those permitted by the MMA can face fines of up to MVR 1 million.

The central bank has urged all currency exchange operators to comply with the laws and regulations governing foreign exchange transactions.

It also warned that further action would be taken against businesses and individuals found to be violating the regulations.

The MMA said it would continue working with law enforcement agencies to address unauthorised foreign currency trading.

A dedicated reporting number has been established for members of the public to provide information about individuals and businesses conducting foreign exchange transactions in violation of the regulations.

The authorities are also working to establish a task force to combat illegal currency exchange activities.

The MMA reiterated that regulatory compliance was mandatory for all licensed currency exchange operators and said enforcement measures would continue against those found to be in breach of the rules.