US dollar climbs to its highest level and Algeria’s dinar goes from bad to worse

date 2016/11/19 views 1826 comments 0
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icon-writer By: Imene Kimouche / English version: M. A.

US currency increased compared to the Algerian dinar and reached around 112 DZ. The US dollar has reached its highest level ever compared to 13 years ago. Economy experts believe that it will contribute in injecting larger liquidity to the Treasury to fund projects.

Head of the Algerian Exporters’ Association Ali Bey Nasri said the US dollar increase is caused by circumstances as a result of the presidential elections. Yet, it will not last for a long time.

“This increase will be good for the Algerian Treasury. The US dollar conversion to the Algerian dinar will inject more money to the Treasury,” he told Echorouk.

Earlier, the Algeria Bank’s governor Mohamed Loukal said even if dinar decreases compared to dollar, price excess will be intended to fund projects.

According to Nasri, the increase would not be reflected on the hard currency black market in Algiers.

“Determining prices in this market does not respect any regulatory economic or monetary criteria. It works upon instructions from speculators and barons who supervise the market as well as supply and demand rule,” he added.

Speaking about exports, Nasri said the value of exports out of hydrocarbons went down compared to 2015. This was due to the decrease of hydrocarbons by-products in the international market such as phosphate and fertilizers although there were a high demand for them. 

He added that 150 new exporters joined the exporting activity in 2016. Most of them are specialized in agricultural products.

Potatoe and tomatoe exports reached $1 million. Date and sugar exports were estimated at $27 million and $143 million respectively.

 

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