Things you should know if you are travelling to the Maldives on a budget

This blog has several parts, next week read about general tourist information……

Currency Exchange

The Maldives has a non-convertible currency – Maldivian Rufiyaa – this cannot be purchased beforehand. One Rufiyaa is 100 Laari and is available in 500, 100, 50, 20, 10 and 5 Rufiyaa notes. The US Dollar is accepted as legal tender throughout the Maldives. Should you arrive with no USD$ then other major international currencies can be exchanged at the Bank of Maldives Foreign Exchange counter located in the arrival hall. This is the only dedicated foreign exchange counter in the Maldives. It is advised not to exchange currency in Male where bank queues are common and waiting time lengthy.

Only major foreign currency will be exchanged for local currency MVR. Hold on to your exchange receipt as you will need to present this upon departure at the exchange counter if you wish to change local currency back to foreign currency.

Paying in USD$

One US Dollar is equivalent to 15.42 Rufiyaa. However, the exchange rate offered on US$1 and US$5 notes by local businesses may be lower.This is because there is a 3% handling charge made by the bank on the deposit of US$ notes of US$5 or less.

The banks in the Maldives are very particular about the condition of bank notes and will refuse deposits of old style US$, even though still an active currency, damaged notes, badly creased, well-worn, or defaced notes will also be rejected. Therefore, if presenting such a note as form of payment you may be requested to change to a note of better condition. Please do not take offence, it is purely that the note will have no worth to the individual to whom you are paying.

Generally, any change given on a purchase made in US$ will be given in local currency MVR.

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ATMs and Credit Cards

Most banks represented in Malé provide ATM services. The Bank of Maldives has several branches in Male as well as other major population hubs such as the Male International Airport, Hulhumale and Gan. Several other regional banks also operate in central Male, including the State Bank of India, Bank of Ceylon, and HSBC. There are no banks on resort islands nor on many local islands. Only local currency MVR will be dispensed from ATMs. There is an ATM at the Male branch of the Bank of Maldives dispensing US$, however, it only dispenses to Bank of Maldives cardholders.

All major credit and debit cards can be used at resorts, hotels and many shops and restaurants in Male as well as on local islands. Note however, that a credit card payment fee may be applied to the total value of your bill. This charge can fluctuate dependent on the credit card payment processing company and may be up to the value of an additional 5%.

Local Tax

All services directly related to guests will incur 10% service charge and 12% T-GST (Tourism Goods and Service Tax). The 10% service charge is applied to the total value and 12% T-GST applied to the total value + service charge.

On local islands GST (Goods and Service Tax) is imposed on the value of goods and services supplied by a registered business such as a local café, local restaurant or local shop.

Environmental ‘Green’ tax will be applied to all stays in accommodation registered as a hotel, resort or liveaboard from 1st November 2015. This adds a further US$6 per person per night and is not subject to T-GST/GST.

From October 2016 $3 will be charged per person per night for guests staying on local islands in guesthouses.

Always check the small print online or ask if it is not clear to ensure that all appropriate local tax is included. What at first appears to be a great deal may not turn out to be.

to be continued…….

About Secret Paradise

Since 2012 Secret Paradise has been at the forefront of the Maldives local island tourism industry, promoting and supporting guesthouses, dive centres and activity operators based on locally inhabited islands throughout the Maldives archipelago. Offering group and private tours or independent travel packages, Secret Paradise holidays are designed to allow guests to engage with local people and experience the best from a paradise generally known as a luxury resort destination.

Responsible Tourism plays a very large part in what we do. We are mindful of ensuring we promote local tourism in line with Maldivian culture and beliefs and through education of both guests and locals we aim to protect the environment and limit where ever possible any negative impact to local life. We partner NGOs such as Save the Beach and marine charity organisations such as Maldives Whaleshark Research Program to provide opportunities for our guests to learn and support local conservation initiatives.

The benefit of travelling with us is that Secret Paradise guarantees you prompt and efficient personal service. We deliver high standards of service and professionalism and you can rely on Secret Paradise to provide expert local knowledge, clear communication and honest advice.

www.secretparadise.mv