Yemen: New circular from the Central Bank regarding regulating foreign currency sale and purchase operations

Arab Sea Newspaper - News Updates

Arab Sea - Yemen - Follow-ups: The Central Bank of Yemen in Aden issued an important circular addressed to all banks, companies, and exchange establishments operating in the country, with the aim of regulating the buying and selling of foreign currency. In its circular, the bank affirmed the commitment of all banks and exchange companies to meet the needs of their customers for foreign currency to cover the import of essential goods and materials from abroad, in accordance with the controls and procedures approved by the National Committee for Regulating and Financing Imports. The circular stressed the prohibition of selling any amounts of foreign currency for commercial purposes outside the scope of the procedures approved by the National Committee, and the prohibition of selling any amounts of foreign currency to unlicensed exchange establishments, while adhering to selling foreign currencies to one of the approved banks or exchange companies at the end of each working day. The Central Bank said that adherence to these procedures reflects the importance of investing national responsibility and keenness to achieve the public interest at this sensitive stage. This comes within the framework of a broad campaign implemented by the Central Bank to regulate the banking market and combat illegal practices that negatively affect financial and monetary stability, and in light of government efforts aimed at reforming the economic system and confronting illegal speculation in the national currency. The campaign included the suspension and withdrawal of licenses of dozens of violating exchange establishments in the capital, Aden, and some governorates, coinciding with the improvement in the value of the Yemeni riyal against foreign currencies.