Maldives broad money drops to MVR 58.9 bil

Maldives broad money dropped to MVR 58.9 billion in May 2024, reports the Maldives Monetary Authority (MMA).

According to Maldives central bank statisics, the month of May recorded the lowest in terms of broad money; which had generally remained at MVR 60 billion in the preceding months this year.

Broad money levels peaked in April, during which it had stood at MVR 60.86 billion.

MMA defines broad money (M2) as the total money supply available in the Maldives, including notes, coins and money in any form which could easily be converted into cash. Broad money is the sum of narrow money and quasi money circulating in the economy, the central adds.

Narrow money is described as the actual physical money; such as bank notes and coins while quasi money or cash equivalents are non-cash assets that are highly liquid, meaning that it can easily be converted into cash.

Statistics from MMA confirms Maldives narrow money total stood at MVR 23.1 billion in May, out of which 85 percent were transferable deposits and the remaining 15 percent were currency outside depository corporations.

The country's economy currently consists of MVR 35.8 billion in quasi money, which includes 76 percent in transferable deposits and other deposits (foreign currency) and 24 percent in other deposits (local currency).