News Desk
Former President Abdulla Yameen has sparked intense backlash after urging resort operators to defy a government mandate requiring tourism businesses to convert 40 percent of their foreign currency revenue into local banks.
Speaking at a PNF town hall meeting in Fuvahmulah on Thursday night, Yameen claimed the new rule imposes an unbearable burden on the tourism sector. Resort owners, he argued, already face heavy foreign currency commitments—from clearing dollar-denominated development loans to managing complex supply logistics.
Fuvahmulah has no resort itself and is a standalone isolated island city, though there are many youth from the city employed in the resorts.
His call for a industry-wide revolt was immediately hit back by the ruling party. PNC Parliamentary Group Leader Ibrahim Falah took to social media to condemn Yameen’s remarks, accusing the former leader of directly inciting illegal acts.
Falah said Yameen’s open push for lawlessness exposes his “malice, deep self-interest, and an undeniable greed for power.” He added that Yameen’s recent backroom alignment with the opposition MDP to try and bring down the government shows just how far his actions have strayed from his past rhetoric.
Throughout his own presidency, Yameen routinely deployed the term “coup” against anyone who dared to challenge his authority—from judges and ministers to opposition politicians and members of the Majlis. Critics now point out the irony as Yameen utilizes that very same playbook against President Dr Mohamed Muizzu, openly calling for civil disobedience and an economic coup to paralyze the state.
The controversial rule stems from an amendment submitted by Funadhoo MP Mohamed Mamdhouh to a bill sponsored by Holhudhoo MP Abdussattar Mohamed. Designed to expand the category of foreign currency-earning businesses subject to mandatory bank conversion, the amendment mandates Category A operations to exchange 40 percent of their monthly forex income through local banks starting the first of next month.
The floor debate follows a tense showdown at the President’s Office. According to a statement released by the Maldives Association of Tourism Industry (MATI), its executive board was summoned to an emergency meeting with Cabinet ministers and senior government officials. During the sit-down, officials presented investigative findings alleging that select resort operators were actively feeding the illegal black market and driving up dollar exchange rates through illicit trades.
MATI—which represents 146 resorts across the country—pushed back hard against the allegations, laying out the heavy foreign currency operational costs borne by its members.
“Resorts are forced to settle bills for fuel, staff salaries, service charges, supplies, logistics, and guest transfers entirely in US dollars,” MATI stated. “On top of that, TGST, Green Tax, withholding tax, income tax, tourism land rent, and foreign loan repayments must all be paid in dollars.”
Reminding officials that its member resorts constitute the single largest source of foreign investment and forex generation in the country, MATI maintained that the industry has consistently acted in good faith to support the state on critical economic matters.
