The primary job of the Maldives Monetary Authority (MMA, the central bank) is to maintain price stability, although legislation also tasks it with preserving an adequate level of international reserves and promoting non-inflationary economic growth. The MMA achieves monetary stability partly through the rufiyaa's peg to the US dollar. In view of the peg, the MMA has little scope to conduct independent monetary policy. However, it also uses minimum reserve requirements for banks and open-market operations as instruments to control credit creation and money supply. The MMA lowered the minimum reserve requirement to 5% in March 2020 to provide additional liquidity support to banks during the ongoing economic slowdown. On balance, we believe that the central bank will continue to maintain an accommodative policy stance in 2021-22 in order to support the economy.