The Maldives Monetary Authority introduced the regulation on October 1, mandating that all foreign currency revenues generated by the tourism industry must be deposited in local banks

Dollar-starved Maldives has floated a new foreign currency regulation, limiting types of transactions allowed in foreign currency and imposing mandatory foreign currency exchange controls on tourism establishments and banks.

Male: Dollar -starved Maldives has floated a new foreign currency regulation, limiting types of transactions allowed in foreign currency and imposing mandatory foreign currency exchange controls on tourism establishments and banks.

The Maldives has introduced new foreign currency regulations, requiring tourism operators to deposit foreign currency earnings in local banks and mandating currency exchange of at least USD 500 per tourist.

Maldives last month averted a potential default on an Islamic bond payment after India extended a USD 50 million interest-free loan.

This is the first time the Maldives, which saw 1.8 million tourist arrivals last year, has made such an exchange mandatory

Get the latest Business News, Live Share & Stock Market Updates, Top News from India and across world. Read Top Business News and updates on financial, economic and banking news on CNBCTV18.