The Central Bank in Aden province, southern Yemen, on Monday issued a new circular to commercial and Islamic banks, exchange companies and facilities.
The new circular set a ceiling for the limits of daily variations in the exchange rate of foreign currencies against the Yemeni riyal, in a bid to curb the wide speculative operations in the foreign exchange markets, and the associated price fluctuations.
The circular stressed the need for banks and exchange companies in the provinces under the control of the coalition to adhere to their daily dealings at the exchange rate of the national currency against foreign currencies according to the market rate.
The change in the exchange rate (sale / purchase) during every working day should not exceed a limit of one Yemeni riyal / Saudi riyal, four riyals / US dollar as a maximum, in the event that there are real factors of the change in the exchange rate, according to the circular.
On Sunday, money changers approved the adoption of the sale of the Saudi riyal and the US dollar, while the purchase will be stopped indefinitely in Aden, stressing that this step will stop the black market manipulation of foreign currencies and exchange rates.
