Dollar could fall to MVR 10 if PNC remains in power, says Falah

People's National Congress (PNC) parliamentary group leader Ibrahim Falah has claimed that the exchange rate of the US dollar could fall to MVR 10 if the party remains in power for another two or three terms.

Falah, who represents the Inguraidhoo constituency, made the remarks during Wednesday's parliamentary debate on a no-confidence motion submitted by the opposition Maldivian Democratic Party (MDP) against Minister of Economic Development and Trade Mohamed Saeed.

The motion raised several concerns about Saeed's performance, including the government's failure to resolve the shortage of US dollars and the high exchange rate in the parallel market.

Defending the minister, Falah blamed the previous MDP administration for the rise in dollar prices, alleging that its economic policies had contributed to the country's foreign currency difficulties.

He accused the former government of printing billions of rufiyaa, exhausting state revenue and borrowing money without investing it in activities that would generate income for the government.

Falah also alleged that borrowed funds had been distributed among individuals close to the previous administration.

He claimed that the economic consequences of those policies had contributed to the depreciation of the rufiyaa in the parallel foreign exchange market.

"If our government continues for another 10 or 15 years, God willing, the dollar will be at MVR 10, Honourable Speaker, MVR 10," Falah told Parliament.

He did not provide a detailed explanation of the economic measures or conditions that would enable the exchange rate to reach that level.

The official exchange rate of the US dollar is approximately MVR 15.42, while dollars have been traded at higher rates in the parallel market.

Falah also criticised the MDP's record in government, claiming that successive administrations led by the party had weakened the country's economy.

He alleged that, after five years of MDP rule, public services and equipment would be left in poor condition, citing hospital ambulances, atoll transport vessels and sea ambulances as examples.

Falah made the remarks while defending Saeed against the opposition's allegations.

He said the minister had the full confidence of the PNC parliamentary group and argued that the no-confidence motion should not proceed.

"Minister Saeed is the strongest minister in this government. Thank you very much," Falah said at the conclusion of his remarks.

Following the debate, Parliament voted to retain Saeed as Minister of Economic Development and Trade.

A total of 54 PNC MPs voted in favour of retaining the minister, while 10 MDP MPs voted against him.

The no-confidence motion had been submitted with the signatures of 13 MDP parliamentary group members.