A catastrophic collapse of the Yemeni riyal in front of foreign currencies, in conjunction with a jump in prices

English - Wednesday 23 September 2020 الساعة 03:40 pm
Aden, NewsYemen, Muhammad Al-Junaidi:

The Yemeni rial continued to collapse against foreign currencies.

On Tuesday, the exchange rate of one dollar reached 847 riyals, while the riyal reached 222 against the Saudi.

There has not been a collapse of the national currency, the riyal, like the one it reached today in its history.

In contrast, commodity prices jumped.

Citizens expressed their concern about this rise and the continued collapse of the Yemeni riyal.

Most of the money exchange shops were closed in the liberated areas, including Shabwa and Aden, while some of them continued working.

The collapse of the riyal is matched by suspicious government silence, and the central bank's inability to control it.


 Dangerous box


 The economic expert, Nasr Mustafa, said that the crisis of the collapse of the Yemeni riyal is entering a very dangerous square, as the lack of confidence in the currency increases, which leads people to switch to buying hard currencies, especially during the transition to the areas controlled by the Houthi group, which leads to an expulsive race.  

The greater the demand for hard currencies, the greater the problem.

Mustafa added: The return of the old price (before the recent collapse) must be announced urgently, so that the currency have the same value in all regions of Yemen.

He said that one of the urgent and necessary steps to curb currency inflation is to withdraw large quantities of local money from the market, and to keep the minimum number of them for circulation.