The Maldives government, led by Minister Mohamed Saeed, is exploring the option of using Maldivian Rufiyaa for importing goods from India, with a plan to eventually shift away from the use of the US dollar in trade transactions. Saeed highlighted the potential benefits of such a move, emphasizing the importance of saving foreign exchange reserves for both countries through this mutually beneficial mechanism.
During an event on the island of Maavah, Minister Saeed expressed confidence that by securing a majority in Parliament, the ruling party could bring down the dollar rate in the country to official market values within a couple of years. This strategic shift towards local currency payments for imports could have a positive impact on the Maldivian Rufiyaa's exchange rate and strengthen economic ties with India and China. Additionally, efforts are underway to establish a currency swap agreement with China, allowing for Chinese imports to be paid in Yuan or Maldivian Rufiyaa.