The Parliament’s Public Accounts Committee has approved amendments to the Foreign Currency Act that would prohibit the public advertisement and dissemination of U.S. Dollar exchange rates above official rates, with violations potentially carrying fines of up to MVR 500,000.

The amendments were proposed by Funadhoo MP Mohamed Mamdhooh during the committee’s review of a government-sponsored foreign currency bill submitted by Holhudhoo MP Abdul Sattar Mohamed.

One amendment would prohibit publishing, sharing or disseminating information about foreign currency rates exceeding official rates or prescribed bands through public digital platforms when intended for advertising, promotion or information dissemination.

Violators could face fines ranging from MVR 25,000 to MVR 500,000.

A second amendment proposes fines of between MVR 25,000 and MVR 1 million for conducting foreign currency transactions at rates exceeding the official rate or permitted bands.

The proposals were supported by ruling People’s National Congress members, who hold a majority on the committee, despite objections from opposition Maldivian Democratic Party lawmakers.

Opposition members raised concerns over the scale of the proposed penalties and the restrictions on reporting exchange rates in the informal market.

The bill itself seeks to revise existing foreign currency requirements for tourism establishments.

Among its proposed changes is removing the option for resorts to convert USD 500 per tourist and instead requiring them to convert 20 percent of their monthly foreign currency revenue.

The Public Accounts Committee returned the bill for further review before considering the latest amendments during its Wednesday meeting.