AGP Executive Report

Trade & Finance: Maldives and the International Islamic Trade Finance Corporation (ITFC) signed a five-year framework to mobilize up to USD 1.5 billion for trade financing, including support for SMEs and state-owned enterprises, as President Muizzu also reaffirmed ties with ITFC. Public Order & Integrity: Home Minister Ali Ihusaan urged “no room for corruption” within the police, while Police Commissioner Ahmed Mohamed said crime reduction can’t be done by police alone and requires public partnership. Information & Media Rules: President appointed Abdul Azeez as Information Commissioner; meanwhile the Media and Broadcasting Commission said broadcasters must explicitly inform people when phone calls are being aired live, citing a Raajje TV incident. Accountability in High-Profile Case: Ihusaan requested further investigation into former President Yameen’s claims about the Dec 12, 2024 Green Building fire, after police said it was caused by an electrical short circuit. Disaster Preparedness: NDMA received a permanent land plot in Hulhumale’ Phase II to set up its HQ and emergency facilities. Legal Update: The High Court lifted a passport seizure order for a Sri Lankan citizen, citing lack of sufficient evidence. Climate Cooperation: Bangladesh and Maldives pledged stronger climate and resilience cooperation through UNICEF’s Youth Track to COP31. Tourism Policy: European travel bodies ABTA and ECTAA urged Maldives to pause new GST destination-principle rules for foreign tour operators ahead of implementation. Sports & Youth: President Muizzu promised formal recognition and infrastructure support for esports, and the Four Seasons Maldives Surfing Champions Trophy kicked off in Sultans.

FDI & Agriculture: India is weighing wider foreign direct investment rules for plantation crops, with banana specifically flagged, as consultations begin on expanding beyond the current automatic-route FDI list. Tourism & Community: Maldives tourism data shows guesthouses are now a major slice of arrivals, with 317,178 visitors choosing guesthouses so far this year (22% of total), despite broader travel disruptions. Ocean Literacy: Dhiraagu has partnered with SEAD to boost ocean literacy among young people through connectivity support and island outreach, including hands-on marine learning in Hulhumalé and other sites. Disaster Management: NDMA has secured a permanent land plot in Hulhumalé Phase II for its headquarters and emergency facilities, after operating from a temporary rundown building. Courts & Rights: The High Court overturned a Criminal Court order to seize a Sri Lankan man’s passport, citing insufficient grounds and lack of proof. Sports & Youth: President Muizzu pledged formal recognition for esports achievements and plans for infrastructure, responding to youth concerns raised in his public dialogue series. Health & Training: IGMH opened applications for its 13th medical internship round, increasing slots to 24 and setting a start date next month. Culture & Events: The Four Seasons Maldives Surfing Champions Trophy is underway at Sultans, bringing international surfers and a Maldivian wildcard to the North Malé Atoll break.

Esports Policy Push: President Dr. Mohamed Muizzu pledged to formally recognize esports achievements and build new opportunities for young Maldivians, including a planned esports center and youth-focused facilities, after a competitor raised the lack of official sports honors in his public dialogue. Tourism Mix Shift: Maldives tourism data shows guesthouses are now a major draw—317,178 visitors so far this year, about 22% of arrivals—while resorts still lead with 73.5%. Capital Markets Plan: The Maldives Stock Exchange and Securities Depository unveiled a 2026–2030 strategy to help SMEs raise funds, expand debt listings, and pursue an “anchor” tourism listing by 2027. Regional Diplomacy & Aid: Muizzu announced MVR 1 million for Nepal’s disaster relief after deadly floods and landslides, reinforcing regional solidarity. Security Update: Police arrested nine people in Malé in a drug trafficking case involving Bangladeshi nationals, with investigations ongoing. Foreign Policy Appointments: Maldives received credentials from 18 new UAE ambassadors, while a new Maldivian envoy to the UAE pledged to strengthen bilateral ties. Infrastructure Spotlight: India’s MEA called the Greater Malé Connectivity Project a “stellar example” of Neighborhood First support as the first bridge segment was completed.

Diplomacy: President Sheikh Mohamed received credentials from 18 newly appointed ambassadors to the UAE, signaling fresh push to deepen ties across Europe and beyond, including the Maldives. Public Finance & Safety Nets: Maldives Inland Revenue Authority (MIRA) recovered MVR 3.5bn in outstanding revenue in the first six months, with total arrears at MVR 14.5bn by end-June. Financial Regulation: The Maldives Monetary Authority (MMA) raised minimum capital requirements for payment service providers, aiming to strengthen financial resilience and public confidence. Drug Enforcement: Police arrested nine people in Malé in a drug trafficking case involving Bangladeshi nationals, with investigations ongoing. Health Infrastructure: The Health Ministry laid the foundation for a Central Cold Chain Facility in Hulhumalé under an ADB-funded project to improve vaccine and medical storage. Regional Solidarity: President Muizzu pledged MVR 1m to Nepal’s disaster relief fund after deadly floods and landslides. Connectivity & Development: India’s MEA called the Greater Malé Connectivity Project a “stellar” Neighborhood First example as the first bridge segment was completed. Tourism & Governance: Maldives Ports Limited signed an MoU with a Chinese firm for Phase 1 of Thilafushi Port, drawing strategic concerns.

Diplomacy: President Sheikh Mohamed received credentials from 18 newly appointed UAE ambassadors, signaling fresh push to deepen ties with the Gulf and Europe. Public Finance & Safety Nets: Maldives Monetary Authority raised minimum capital requirements for payment service providers, tightening financial safeguards across the PSP sector. Fisheries Support: MVR 14.5 million in loans was disbursed to 113 fishermen via the Masveriya Portal in four months, covering equipment, vessel needs, housing and education. Regional Aid: President Muizzu pledged MVR 1 million to Nepal’s disaster relief fund after the Aug. 26 floods and landslides, reaffirming regional solidarity. Security: Police arrested nine Bangladeshi nationals in Malé in a drug bust, with suspects handed to Immigration after legal steps. Parliament Politics: PNC MPs rejected Abdulla Yameen’s claims of a “secret revolt” inside Parliament, with lawmakers insisting support for President Muizzu remains steady. Infrastructure & Trade: Maldives Ports Limited signed an MoU with China Harbour Engineering Company for Phase 1 of Thilafushi Port, raising strategic concerns over India ties. Governance & Revenue: MIRA recovered MVR 3.5 billion in six months, with total outstanding revenue at MVR 14.5 billion by end-June. Health Infrastructure: Health Ministry laid the foundation for an ADB-funded Central Cold Chain Facility in Hulhumalé to strengthen vaccine and temperature-sensitive storage.

Parliament Watch: PNC MPs have rejected former President Abdulla Yameen’s claims of a “secret revolt” inside the legislature, with PNC figures saying the 20th assembly is steady and backing President Dr. Mohamed Muizzu. State Enterprise & Politics: A STELCO HR employee was suspended after live TV remarks suggested employees must submit forms to join the ruling PNC, sparking social media backlash. Financial Oversight: Maldives Inland Revenue Authority (MIRA) recovered MVR 3.5 billion in outstanding revenue in the first six months, with total arrears at MVR 14.5 billion by end-June. Money & Security: Maldives Monetary Authority (MMA) raised minimum capital requirements for payment service providers, aiming to strengthen financial system resilience. Public Safety: Police marked Police Service Day with community outreach in Malé, including helmet gifts and safety reminders. Health Infrastructure: The Health Ministry laid the foundation stone for an ADB-funded Central Cold Chain Facility in Hulhumalé to improve vaccine and medical supply storage. Tourism & Risk: Police reported about MVR 2 million lost to scams in August, with currency exchange fraud a major share. Governance Appointments: Dr. Ahmed Riyaz was appointed Chief Statistician of the Maldives.

Financial Regulation: Maldives Monetary Authority (MMA) has raised minimum capital requirements for payment service providers, lifting PSP unimpaired capital to as high as MVR 2m for several categories, aiming to keep firms financially resilient and services uninterrupted. Tax Recovery: MIRA says it recovered MVR 3.5bn in outstanding revenue in the first six months, with total arrears at MVR 14.5bn as of June. Public Health Infrastructure: Health Ministry laid the foundation for an ADB-funded Central Cold Chain Facility in Hulhumalé to strengthen vaccine and temperature-sensitive medicine storage and emergency readiness. Governance & Staffing: Civil Service Commission issued rules allowing atoll council employees to work on other islands within the atoll when local staffing is unavailable, with costs covered under approved structures. State Enterprise Politics: STELCO suspended an HR employee after live TV remarks linked staff sign-ups to the ruling PNC, triggering public backlash. Security & Community: Police marked Police Service Day by rewarding residents for road-safety compliance and construction-site safety, including helmet gifts and thank-you cards. Appointments: Dr. Ahmed Riyaz appointed Chief Statistician, effective 23 August. Housing Push: Maldives plans 113 housing projects nationwide to tackle shortages. Tourism & Travel: Foreign Ministry confirms Maldivians get 30-day visa-free entry to Thailand from September 15. Scam Alerts: Police report about MVR 2m lost to scams in August, with currency exchange fraud a major driver. International Scrutiny: Reports say Maldives is being used as a transit route for Russia-linked sanctions evasion via Malé airport.

Sanctions & Trade: The Maldives is being used as a transit hub for Russia-linked sanctions evasion, with restricted dual-use goods reportedly routed through Velana International Airport before being flown to Moscow. Housing Push: The government says 113 housing projects are underway nationwide to tackle the persistent housing shortage, with 21 projects in the Male region. Tax & Tourism Regulation: MIRA says a new GST amendment will bring foreign tour operators and overseas tourism businesses into the GST system, expanding the tax base for inbound tourism services. Local Governance Controls: The Local Government Authority has barred councils from hiring new staff without prior written approval, as part of fiscal austerity measures. Opposition Rights Probe: The Human Rights Commission of Maldives is investigating the MDP’s complaint over Hirimaradhoo being declared uninhabited and residents allegedly losing services and clarity. Scam Losses: Police report about MVR 2 million lost to scams in August, with currency exchange fraud a major contributor. Tourism Update: August saw the highest tourist arrivals since the Middle East war disruption, with China and Russia leading source markets. Visa News: Thailand’s Foreign Ministry confirms Maldivians will get visa-free entry for 30 days from September 15. Climate & Heat: Male’ hit 39.1°C feels-like, and the Met Office warns above-average temperatures and El Niño impacts ahead.

Sanctions & Trade: A Wall Street Journal investigation says Maldives airport transit is being used to route hundreds of millions of dollars in restricted goods to Russia, with cargo reportedly staying in the transit area and then moving on Aeroflot flights—raising fresh questions about enforcement and oversight. Opposition & Rights: The Human Rights Commission of Maldives has begun investigating an MDP complaint over President Muizzu’s move to declare Hirimaradhoo uninhabited, after residents alleged loss of services and uncertainty. Economy & Cost of Living: Former Finance Minister Ibrahim Ameer told an MDP rally that fishermen are catching less fish and that people are poorer than under previous administrations, arguing the current government has worsened hardship. Foreign Policy Shift: Muizzu, once backed by an “India Out” campaign, now calls the India-financed Thilamale Bridge a symbol of enduring Maldives-India ties, praising Indian support. Tax & Tourism: MIRA says a new GST amendment will bring foreign tour operators and overseas tourism businesses into the GST system, expanding the tax base. Local Governance: The Local Government Authority ordered councils to stop hiring new staff without prior written approval, citing fiscal austerity. Weather: Male’ hit 39°C feels-like temperatures, with Met Office warning of hotter conditions ahead tied to strengthening El Nino. Business & Culture: Muizzu met the ICCD to discuss expanding halal investment and halal tourism cooperation.

Climate & Diplomacy: Australia’s PM Anthony Albanese defended the Pacific pre-COP31 climate meeting in Fiji and Tuvalu after reports of low turnout, saying the event will “elevate” Pacific climate priorities ahead of COP31 in Turkey. Halal Tourism: President Dr. Mohamed Muizzu met the Islamic Chamber of Commerce and Development to discuss expanding halal tourism and investment, building on earlier plans to designate islands and offer incentives. Foreign Exchange Crackdown: Maldives Police set up a task force to target illegal foreign currency dealers, urging the public to report unlicensed activity; six foreign nationals were detained in a separate case tied to large forex transactions. Tourism Policy & Tax: MIRA instructed TGST-registered tourism businesses to report foreign parties selling Maldives tourism products under the updated GST rules, while the Maldives Association of Travel Agents and Tour Operators warned the move could hurt foreign booking platforms. Opposition Politics: The MDP approved a resolution threatening direct political action against President Muizzu unless economic and fiscal policies are reversed, focusing on the 40% foreign currency conversion requirement for resorts. Infrastructure & Governance: The Thilamalé Bridge project is described as designed for about 120 years with major maintenance roughly every 20 years, and President Muizzu urged stronger, more capable policing to protect public trust.

Police Crackdown on Illegal Forex: Maldives Police set up a hotline for people to report unauthorized foreign exchange dealers, warning that promoting or sharing black-market dollar rates is an offence. Foreign Nationals Detained: Six foreign nationals were arrested over alleged illegal foreign currency trading, with police citing large transaction totals and warning that Maldivians whose accounts were used could face legal action. Economic Pressure Debate: The MDP approved a resolution calling for direct political action against President Dr. Mohamed Muizzu unless economic and fiscal policies are reversed, targeting the 40% foreign currency conversion requirement for resorts. Tourism Tax Compliance: MIRA ordered TGST-registered tourism businesses to report foreign parties selling tourist beds, expanding GST obligations for foreign tour operators and online bed sellers. Oil Subsidy System Tightened: Fishermen must register on the Fahi Hakatha portal to receive fuel subsidies, with vessel-based litre limits and expanded diesel credit locations. Infrastructure Update: AFCONS says the Thilamalé Bridge is designed for around 120 years, with major maintenance expected about once every 20 years. Appointments: Abdulla Faiz was appointed Chairman of MIFCO, while Air Marshal Sandeep Thareja took over as 47th DGAFMS. Public Safety for Children: MP Ahmed Siyam Mohamed urged stronger child-safety measures after two separate tragic incidents in Hulhumalé. Regional Diplomacy: President Muizzu congratulated Norway’s King Haakon VIII and highlighted trust in the Police Service.

Offshore Resources Regulation: Maldives Cabinet moves to create a dedicated legal framework for exploring and extracting oil, gas, minerals and other non-living marine resources in the country’s maritime zones, with a special bill to set permit procedures and regulate the sector. FX Policy Pushback: MDP vows “direct political action” against the government’s 40% foreign-currency exchange requirement for resorts, calling it harmful to the economy and urging President Muizzu to resign. Foreign Currency Crackdown: Maldives Police and Immigration detain six expatriates over an alleged unauthorized forex network, with authorities saying MVR 54.4m and USD 1.63m were circulated via personal and local-registered business accounts. Party Leadership Update: MDP appoints Mohamed Shifaz as Deputy Chairperson (Financial) after a vacancy, following internal party reshuffles. Tourism & Trade Glance: Maldives resorts keep scoring at international travel awards, while ITB India opens in Mumbai and Vakkaru Maldives hosts travel partners ahead of TTM Maldives.

Foreign Exchange Crackdown: Maldives Police and Immigration detained six expatriates over an alleged large-scale forex network, with MVR 54.4 million and USD 1.63 million reportedly moved through personal accounts. MDP Opposition Push: The Maldivian Democratic Party approved “direct political action” against the govt’s 40% foreign currency exchange requirement for resorts, vowing to continue until President Muizzu resigns. Party Leadership: MDP’s National Council approved Mohamed Shifaz as Deputy Chairperson (Financial), filling a vacancy after Ahmed Abdulla’s resignation. Tourism Dollar Rules: President Muizzu ratified foreign exchange amendments, saying resorts must keep paying staff in USD while converting 40% of foreign earnings through local banks; he also said the shift will take decades and must be gradual. Tax & GST: Muizzu ratified the 4th Amendment to the Tax Administration Act and GST changes requiring GST collection by foreign tour operators and travel agents. Energy & Resources: Cabinet moved to set up a legal framework for oil, gas, and mineral exploration and extraction in Maldives maritime zones. Diplomacy & Aid: Maldives and Japan signed an MVR 14.7m grant for scholarships; Muizzu also appointed Jameela Ali Khalid as High Commissioner to the UK.

Foreign Exchange Bill: President Dr. Mohamed Muizzu ratified the Foreign Exchange Bill, locking in the 40% dollar-conversion requirement for resorts via the banking system and banning publication of rates above the MMA reference price, with fines for individuals and businesses and possible criminal prosecution. Tourism & Politics: The President also urged that dollar salaries should not stop, as debate continues between government claims of stabilising USD circulation and opposition warnings that the rule could strain or bankrupt resorts. Infrastructure Watch: India’s High Commissioner G. Balasubramanian and President Muizzu inspected the Thilamalé Bridge/GMCP progress, with officials saying the bridge is nearing completion and will further connect Greater Malé. Appointments: Jameela Ali Khalid was appointed Maldives High Commissioner to the UK after parliamentary review, while Aishath Zamra Zahir became MD of Addu City Hankede Development Corporation. Public Services: Immigration extended expired passport validity free of charge until 30 June 2027 via Imuga due to booklet delays. National Day Diplomacy: Muizzu sent Malaysia Independence Day greetings, reaffirming long-standing ties and pledging expanded economic cooperation. Security & Response: MNDF reported 16 emergency incidents last week, mostly fires, including two major gas-related cases in Malé.

Thilamalé Bridge Push: President Muizzu inspected the Greater Malé Connectivity Project, saying progress on the Thilamalé Bridge shows the government’s push to expedite major infrastructure, with India’s High Commissioner calling it among India’s biggest projects abroad. National Engineers’ Day & Skills: Muizzu announced plans for a state-of-the-art engineering laboratory, funded outside the state budget, to support research and testing across multiple engineering fields. Forex Politics in Tourism: Opposition leader Nasheed warned Parliament’s 40% USD conversion requirement could bankrupt resorts, while MMA clarified businesses can still pay salaries in USD. Insurance Rules: MMA published two insurance regulations for public comment and finalised them, including a required MVR 2 million security deposit for insurers. Health Services Expansion: Hulhumale’ Hospital opened new specialist services—gastroenterology, neurology, and urology—to improve access to care. Public Safety Update: MNDF reported 16 emergency incidents last week, mostly fires, including a gas cylinder explosion injuring four and a fatal gas leak case. Riveli Award Deadline: The Health Ministry extended applications for the Riveli Award to Sept 17. Regional Diplomacy: Maldives urged OIC action on Palestine, as Foreign Minister Iruthisham Adam called for decisive steps and accountability.

China-Maldives Relations: President Muizzu marked the 8th anniversary of the China-Maldives Friendship Bridge, calling it a symbol of trust and unity, and visited the Friendship Park with Chinese Ambassador Kong Xianhua and local ministers. National Development: On National Engineers’ Day, the President announced a new government engineering building with advanced lab facilities for research in fields from robotics and AI to aircraft engineering. Foreign Exchange Politics: Vice President Hussain Mohamed Latheef defended the 40% dollar-conversion requirement for resorts as necessary for stabilising foreign exchange, while opposition leader Mohamed Nasheed warned it could bankrupt resorts and damage the wider tourism economy; the MMA also clarified that the law does not legally stop employers from paying salaries in USD. Tourism Policy & Revenue: Parliament approved extending Tourism Goods and Services Tax obligations to overseas booking platforms and tour operators, and MMA data shows tourism tax revenue rising even as reserves fluctuate amid heavy external debt servicing. Health Services: Hulhumale’ Hospital inaugurated new specialist services—gastroenterology, neurology and urology—to improve access to care. Infrastructure & Trade: Maldives Ports Limited opened a tender for facilities for the Thilafushi Port Development Project, aimed at moving commercial port operations out of Malé. Regional Diplomacy: Foreign Minister Iruthisham Adam urged OIC members to take decisive action on Palestine during an emergency session in Jeddah.