# Maldives economic instability and dollar shortages > Live situation record from CLSTR: https://clstr.news/situations/maldives-economic-instability-and-dollar-shortages > Updated: 2026-09-20T04:38:44.000Z. Sources: 10. Developments: 2. The Maldives is experiencing significant economic pressure characterized by declining foreign exchange reserves and a shortage of US dollars. In August 2026, usable reserves dropped by 9.6 percent to 200.6 million US dollars, a situation exacerbated by a large sukuk repayment in April and declining tax revenues. The central bank has been selling dollars to banks to mitigate market pressure. Economic Minister Mohamed Saieed has addressed concerns regarding potential national bankruptcy, stating that the government is working to stabilize the economy. To prevent default, the administration successfully paid a $5 million Treasury Bill installment to the Sovereign Development Fund. The government has also secured loan deferrals from China and the Asian Development Bank to manage its debt burden. These domestic challenges are compounded by external factors, specifically US Federal Reserve interest rate hikes which have tightened dollar liquidity for import-dependent nations. While the official exchange rate is maintained at 15.42 Rufiyaa, black market rates have previously reached as high as 22.60 Rufiyaa, impacting the cost of imported goods. ## Timeline ### 2026-09-20: Maldives economy faces pressure from US interest rates and dollar shortages Maldives Economic Minister Mohamed Saieed denies bankruptcy rumors, citing successful debt repayments, while US Federal Reserve interest rate hikes continue to pressure the nation's dollar liquidity and import- 5 sources. https://clstr.news/cluster/maldives-economy-faces-pressure-from-us-interest-rates-and-dollar-shortages ### 2026-09-17: Foreign exchange reserves decline in Maldives and India Foreign exchange reserves have declined in both the Maldives and India, with the Maldives facing a critical usable dollar shortage and India seeing a weekly drop in gold and currency assets. 5 sources. https://clstr.news/cluster/foreign-exchange-reserves-decline-in-maldives-and-india --- Cite as: Maldives economic instability and dollar shortages. CLSTR, https://clstr.news/situations/maldives-economic-instability-and-dollar-shortages