MDP President Abdulla Shahid has strongly condemned Bank of Maldives’ decision to impose a 30 percent fee on foreign e-commerce transactions made using MVR-linked debit cards, calling it “a cleverly disguised scheme to extract more from the public.”
In a post on X, formerly known as Twitter, Shahid — who served as foreign minister during the Solih administration — said the move worsens the cost-of-living crisis and disproportionately punishes ordinary citizens while allowing the privileged to circumvent restrictions.
“The increase in @bankofmaldives foreign card limit to USD 500 is not a win for the people—it’s a cleverly disguised scheme to extract more from the public,” Shahid wrote. “A new 30% fee on MVR debit card transactions for e-commerce makes purchasing goods online more expensive than the black market.”
He accused BML of profiteering from a foreign currency shortage “engineered by the government’s failure to secure foreign financing and manage reserves responsibly.”
“This policy doesn’t solve the problem—it institutionalises hardship and reinforces a dual economy where the poor pay more and the rich find a way around,” he added.
His remarks follow similar criticism from MDP Chairperson and opposition leader Fayyaz Ismail, who earlier denounced the new fee as a formalisation of a multiple exchange rate system. He said the decision effectively legitimises what was previously an informal parallel market for US dollars.
“BML’s 30% fee on foreign transactions through widely used e-commerce platforms effectively cements a high exchange rate,” Fayyaz wrote on X. “That we have reached the point of formalising a multiple exchange rate system is a direct failure of the current PNC government — a sign of an unstable and mismanaged economy.”
Fayyaz, who previously served as economic development minister, warned that the policy shifts the economic burden onto average Maldivians and called on the Muizzu administration to seek expert advice and engage with the business community before “irreversible damage is done.”
BML introduced the changes on Monday, announcing that the monthly foreign spending limit on MVR debit cards would increase from US$250 to US$500. However, a 30 percent fee now applies to purchases made on a specific list of international platforms, including Temu, SHEIN, Alibaba, AliExpress, Lazada and eBay — all of which are widely used by Maldivians for their affordability.
The bank stated that the decision was prompted by high volumes of dollar outflows to a limited number of sites. Sources familiar with the matter estimate that BML processes about US$20 million in such transactions each month.
Transactions to other international websites — including those used for travel bookings and subscription services — are not subject to the new charge.
Economists have warned that the policy is likely to have a disproportionate impact on lower-income households, particularly families and young people who rely on affordable e-commerce platforms for essential goods.