Aden-based central bank tries to sell dollar reserves in light of economic collapse

ADEN, June 23 (YPA) – Yemen’s Aden-based central bank was forced to take a step for selling dollar reserves in light of the economic crisis that the country is experiencing.

A statement issued by the Bank on Thursday said that it had suspended the weekly auction for selling dollar reserves, which was supposed to take place last Tuesday, until after the Eid al-Adha holiday, which is a period of up to 17 days.

From the point of view of economists, it seems that the suspension of the auction came due to the economic crisis that the government loyal to the coalition suffering from.

This is the first time that the central bank in Aden has been forced to cancel its weekly auctions for selling dollars, since those auctions were launched on November 10, 2021.

Although the bank said that the aim of the auctions was to “provide the needs of merchants for hard currency for import,” experts explained that the sales of hard currency reserves made it impossible to think about the stability of the local currency, due to the lack of hard currency cover to restore the recovery of the Yemeni riyal in Aden and the rest of the areas under the control of the coalition.