[ad_1]
The Money Exchange Association in Yemen’s temporary capital Aden on Thursday approved the suspension of currency trading and the suspension of work in local money transfer networks, amid a growing collapse of the local currency.
The association issued its circular, based on guidelines from the Central Bank of Yemen in Aden, which called on all facilities, exchange companies and financial transfer networks, to suspend the sale and purchase of foreign currencies.
The association issued a circular to all exchange companies and commercial banks in Aden to stop buying and selling foreign currency until further notice.
The circular also provided for the suspension of work in all money transfer networks with exchange companies between governorates.
The move comes as the collapse of the local currency escalates, as the sale of the riyal in morning trading in Aden on Thursday was recorded at around 1,087 rials to the dollar, and 286 to the Saudi riyal. According to what has been confirmed by banking sources.
Yemeni currency experiences record decline against foreign currencies, amid a deep divide in already deteriorating financial and monetary institutions, with a price difference between Houthi-controlled areas and legitimate government control areas .
The Houthi militia’s ban on the circulation and possession of legitimate government-printed new money in its areas of control has caused serious damage to the national economy and legal tender.
The legitimate government has said that the militias’ decision to prevent the circulation of the new currency was part of the destructive policies it has pursued since its coup to strike the national economy, corruption and currency speculation and undermine government efforts and monetary policies.
Source link
