Payment Maldives Paves Way for Faster, Smarter Digital Payments

The Maldives has taken a decisive step toward a digital-first financial future with the launch of Payment Maldives Private Limited, a new company established to modernise and accelerate the country’s payment ecosystem. The company was officially inaugurated today by Central Bank Governor Ahmed Munawar, marking a structural shift in how retail payment systems will be developed and managed nationwide.

Formed as an initiative of the Maldives Monetary Authority, Payment Maldives has been tasked with building a robust, secure and innovation-ready payment infrastructure that enables faster rollout of user-friendly payment services for both the public and businesses. While the central bank will retain a 60 percent stake, the new entity will operate under separate management to allow for greater agility, technical specialisation and product innovation.

According to the MMA, Payment Maldives will assume responsibility for managing and developing key retail payment systems, including FAVARA and the Automated Clearing House (ACH), functions that were previously handled directly by the central bank. By placing these systems under a dedicated institution, the authority aims to accelerate infrastructure development while encouraging closer collaboration with banks and other financial service providers.

The transition also brings major ongoing initiatives under a single operational umbrella. High-profile projects such as the cross-border integration of FAVARA with India’s UPI network and the nationwide rollout of the PayMV QR code will now be spearheaded by Payment Maldives, positioning the company at the centre of the country’s payment innovation agenda.

MMA officials say the decision to manage the company independently reflects the rapidly evolving nature of global payment technologies. By recruiting specialist staff in innovation, product development and information technology, Payment Maldives is expected to shorten development cycles, strengthen system resilience and deliver new services more efficiently, while maintaining the security and stability mandated under the National Payment System Act.

The model adopted by Payment Maldives mirrors arrangements in several advanced payment markets. India’s National Payments Corporation of India, established with the backing of the Reserve Bank of India, has transformed everyday transactions through real-time platforms such as UPI. Similar payment infrastructure companies operate in Australia, Thailand and Jordan, where they have played a key role in expanding digital payments and financial inclusion.

For consumers, the MMA says the new company will translate into faster and more convenient payment options, stronger security and easier access to innovative financial services. Businesses are expected to benefit from lower processing costs, improved access to modern payment technologies and expanded opportunities for cross-border trade as interoperability improves.

With digital payments becoming an integral part of daily life, the establishment of Payment Maldives is being positioned as a cornerstone of the country’s broader digital economy strategy. By separating regulation from operation and placing innovation at the forefront, the MMA believes the new entity will not only strengthen existing systems but also ensure the Maldives is prepared to meet future demands in an increasingly cashless world.