BML: USD 143M sold for education and medicals, USD 870M for MVR cards

Bank of Maldives (BML), on Sunday, stated that, over the past five years, the largest share of US dollars sold to customers was for transactions made using Maldivian Rufiyaa cards, while the smallest share was allocated for education and medical expenses.

According to statistical data released by BML, the bank sold a total of USD 2.7 billion between July 2021 and June 2024. Of this amount, USD 1.7 billion was transacted between January 2024 and June this year.

The data shows a significant increase in dollar sales across four key categories over the past 30 months compared with the period between July 2021 and December 2023.

The most notable growth was recorded in transactions made using Rufiyaa cards. During the past 30 months, BML sold USD 870 million for card transactions, representing an increase of USD 440 million, or 102 percent, compared with the preceding 30-month period.

The second-largest category was Telegraphic Transfers (TTs) and remittances. While USD 296 million was sold for this purpose between July 2021 and December 2023, the figure increased to USD 422 million from January 2024 to June this year, reflecting an increase of USD 126 million, or 43 percent.

During the same period, dollar sales for outbound travel increased by USD 109 million, representing a 70 percent rise.

The bank's statistics indicate that the lowest volume of US dollars was sold for education and medical treatment. Between July 2021 and December 2023, USD 76 million was utilized for these purposes. This increased to USD 143 million between January 2024 and June this year, marking a rise of USD 67 million, or 88 percent.

Notably, BML increased the foreign currency limit for medical travel in August last year. Patients travelling abroad under the state social protection scheme, Aasandha, are eligible for up to USD 2,000, while those receiving assistance through the National Social Protection Agency (NSPA) are provided an amount determined by the agency, capped at USD 2,000. Individuals travelling overseas for medical treatment without state assistance are eligible to purchase up to USD 1,000.

Health Minister Geela Ali recently stated that cancer treatment remains accounts for most overseas medical referrals under the Aasandha scheme. In 2023, 1,638 patients were referred abroad for cancer treatment, with the figure reportedly increasing to 2,000 last year.

Higher education also remains a key reason for Maldivians travelling overseas, with the bank maintaining dedicated policies to facilitate foreign currency purchases for students studying abroad.

Despite these measures to support essential needs, public concern persists that the existing dollar limits continue to restrict international transactions. BML maintains that the restrictions are necessary because demand for foreign currency significantly exceeds the bank's actual US dollar inflows.

To help address the shortage, BML launched a new investment opportunity last month aimed at attracting US dollar deposits by offering returns in Maldivian Rufiyaa. The bank stated that the additional foreign currency generated through the initiative has enabled it to increase dollar limits for customers using popular online shopping platforms such as Temu.