The Indian Ministry of External Affairs has confirmed ongoing discussions with Maldivian authorities to address salary remittance challenges faced by Indian nationals working in the Maldives.

The statement came in response to a question raised in the Lok Sabha, India’s lower house of Parliament, regarding the difficulties Indians encounter when sending salaries from the Maldives.

The ministry attributed the issue to dollar shortages in the Maldives, exacerbated by limitations imposed by the Maldives Monetary Authority (MMA), the country’s central bank, on dollar allocations to banks.

According to the ministry, Indian workers earning salaries in Maldivian Rufiyaa face challenges in sending remittances due to these restrictions, while those earning directly in US dollars are unaffected.

The Indian High Commission in the Maldives has taken up the issue with both the Maldivian government and the MMA, urging increased dollar allocations to banks to ease the situation.

The External Affairs Ministry emphasized that the welfare of Indian nationals remains a priority and pledged to continue engaging with Maldivian authorities for a resolution.

The challenges arise amidst the Maldives’ ongoing dollar shortage.

Official reserves have grown, but usable reserves dropped by USD 17 million last month to USD 32 million, marking the steepest decline in three years. T

he fall has been linked to a significant increase in US dollar expenditure.