Former Education Minister Dr Aishath Ali has expressed concern over the decision by the Maldives branch of the State Bank of India (SBI) to reduce remittance limits for Indian nationals working in the country. She said she hopes the bank will reconsider the move.
SBI’s Male' city branch has announced that, starting October 25, the monthly remittance limit for Indian citizens will be reduced from USD 400 to USD 150. The bank cited low foreign exchange inflows as the reason for the temporary restriction. The decision has sparked concern among Indian expatriates, including teachers, many of whom have voiced their frustration on social media.
In a Facebook post on Thursday evening, Aishath Ali noted that Indian teachers in the Maldives send money home to support their families and teach Dhivehi students with care and compassion. She said that instead of placing additional burdens on them, their contributions should be respected and their work made easier. She expressed hope that SBI would reverse its decision.
USD Remittances: Important information for Indian nationals/expatriates residing in the Maldives@MEAIndia@IndianDiplomacy @MoFAmv pic.twitter.com/hB7z9fJM98
— India in Maldives (@HCIMaldives) October 16, 2025
The Indian High Commission in Male' has issued a statement acknowledging the difficulties faced by Indian citizens and their families due to the new remittance cap. The commission said it is in discussions with the Maldivian Foreign Ministry, the Maldives Monetary Authority (MMA), and other relevant agencies to resolve the issue.
The High Commission also advised Indian nationals to plan their expenditures in advance, encourage employers to pay salaries in US dollars, and stay informed about official announcements from SBI’s Maldives branch.
There is a large number of Indian workers in the Maldives, many of whom rely on regular remittances to support families back home. The black market exchange rate for the US dollar has risen above MVR 20, reflecting ongoing currency pressure.
The MMA has instructed banks to surrender 90 percent of their dollar inflows to the central bank, a portion of which is returned to the banks. This policy is part of broader efforts to manage foreign exchange reserves amid rising external debt obligations.