Euro currency hikes to 207 Dinars in informal “Port Said” market and MPs get jittery

The exchange rate of the euro currency, against the national currency the dinar, witnessed on Thursday October 26th a record hike at the Port Said square informal currency market in downtown Algiers, to reach the first time 207 dinars per unit against the European single currency, and this development has been described by economic experts as “a dangerous indicator,” as it coincided with the end of the Hajj or pilgrimage season and the approaching New Year’s eve celebrations.

Members of the Finance and Budget Committee at the national people’s assembly raised this issue during a meeting with members of the government, on the sidelines of the discussions about the draft Finance Act of 2018.
The Chairman of the Finance and Budget Committee of the National People’s Assembly, Mr.  Tewfik Tarche, said to this effect in a statement to “Echorouk” that the file of the collapse of the dinar against foreign hard currencies will be largely evoked during the ongoing discussions on the draft Finance Law for the next year by the deputies, and relevant questions will be asked by the MPs to the members of the government notably to finance minister Mr Abderrahmane Raouya.
The MP said in this connection that Mr Raouya had assured that the recent amendment  brought to the currency and credit law and the printing of fresh money by the Bank of Algeria for investment-oriented purposes, will not drive the dinar currency to plummet.
“The new printed funds will be destined to buy the bonds of such national enterprises as Sonatrach and Sonelgaz, and are not meant for the management expenses,  so as to  stave off  any new inflation hike and a further decline of the national currency during the next stage, Mr Raouya underlined.
He added that the opening of currency exchange offices is not required in the current financial juncture  because of the low profit margins, as many people will sell the hard currencies outside this official market, obviously to achieve higher profits, thus making this very  file  not topical and unproductive for the moment owing to the turbulent economic period now besetting the country.