The Maldives Monetary Authority (MMA) has reported a significant increase in overseas remittances, totaling USD 70 million, marking a notable 43% surge compared to the previous year's USD 50 million.
MMA's annual financial report indicates that two companies, Island Financial Service and NBL Money Transfer Pte Ltd, facilitated money transfers from Maldives to international destinations. In 2023, there were 84,000 remittance transactions, reflecting a substantial 24% increase compared to 2022.
Notably, 84% of remittance funds were sent by foreigners, with only 16% utilized by Maldivians. However, the number of Maldivian remittance users declined by 14%, while foreign users increased significantly by 63%.
The breakdown of remittance destinations portrays a diverse spread of funds, with Bangladesh leading at 46%, followed by Nepal at 9%, the Philippines at 8%, Egypt at 7%, and India at 6%.
In contrast, the amount of money sent to Maldives from other countries via remittance companies declined in 2023. Only 3,000 transactions were made, totaling USD 2.8 million, reflecting an 8% decrease.
The data reveals a diverse array of countries playing significant roles in the influx of funds, with the United Arab Emirates (UAE) emerging as the top contributor at 15%, followed by the United States at 7%, Germany and China each at 6%, and the United Kingdom (UK) at 5%.
Moreover, Maldivians predominantly received remittance services, indicating that money transfers were primarily directed towards the Maldives.