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The exchange rate of foreign currencies has been in turmoil due to the imbalance between supply and demand for the past few days. The euro soared and the dollar retained its record broken a week ago. This Monday, these two currencies returned to stability, but still maintain their high level.
The black currency market, emerging from the lethargy into which it had fallen after its panic at the beginning of October, is returning to stability. The dynamism that began last week was reminiscent of the upheavals of the first days of October, when foreign currencies reached peaks. This Monday, November 18, the exchange rate is that of a week ago.
It should be remembered that after the significant rise that currencies experienced at the beginning of October has faded. The euro and the dollar then fell before stabilizing and then surging on November 10. This week, the new cycle of increase started with the record broken by the dollar on the main black exchange markets, notably Square Port Said, the best known market in the country, gives way to a new phase of stability.
This Monday, November 18, the euro stopped progressing. It trades at exactly 254 dinars for purchase and 256 dinars for sale. Note that this rate can change from one region to another, with a margin of 2 DA, depending on the wilayas.
For its part, the American dollar maintains its record broken for a week. It is trading at 235 dinars for purchase and 238 dinars for sale this Monday. As for the Canadian dollar, popular with Algerians who have a large community in the North American country, it remained stable. It trades at 159 dinars for purchase and 161 dinars for sale.
Why is the exchange rate so high?
The black currency market responds to a chaotic phenomenon which makes it unpredictable. However, the law of supply and demand is the main parameter for understanding currency fluctuations. The exchange rate on the black market is therefore impacted by the increase in demand. An increase which will have to be confirmed in the coming days, while the period is not favorable for an increase in supply. We should therefore expect a high exchange rate in the coming days.
The exchange rate on the official market
On the official market, foreign currencies are relatively stable, according to quotes from the Bank of Algeria this Thursday. The dollar is trading at 133.53 dinars and the euro is at 141.80 dinars. Although the fluctuations are minimal, the rate has increased slightly compared to last week.
– What are the main reasons behind the recent fluctuations in the exchange rate of foreign currencies in Algeria?
1. Can you please explain the recent turmoil in the exchange rate of foreign currencies and its impact on the black currency market?
2. How do you see the stability of the exchange rate in the coming days amidst the fluctuations experienced by currencies like the Euro and the Dollar?
3. What factors lead to the current demand for foreign currencies in Algeria, and how do you predict this demand will evolve in the coming weeks?
4. Can you discuss the impact of the recent stability on the official exchange rate quoted by the Bank of Algeria?
5. How do you assess the effect of the global economic context on the fluctuations experienced by the black currency market and the future outlook for stability in the exchange rate?
