Economics Affairs

Country's exchange reserves safely managed, Dinar stable since June 2016

APS - 13 April 2017

ALGIERS – Governor of the Bank of Algeria Mohamed Loukal said Wednesday that the country’s exchange reserves are "safely" managed.

The Governor who answered senators’ questions during a plenary session of the Council of the Nation on the report on the country’s economic situation, added the “currency fluctuation had no impact on the fundamentals of the national economy."

The official also said that the Algerian Dinar progressively stabilized from June 2016, as the Euro fell against the Dollar.

Loukal who dubbed the economic situation "very critical," however reassured that the country had overcome the crisis thanks to the orientations of President of the Republic Abdelaziz Bouteflika.

The official mentioned the measures taken by the government, chiefly the early refunding of debts and the creation of the Revenue Regulation Fund, which have helped the country to slow the crisis and honor its external commitments.

With 70% of the Algerian revenues coming from the Euro zone and oil exports, which prices are increasing, this situation is beneficial, Loukal said, noting that this trend was maintained during the first quarter of 2017.

The new economic model based on the diversification of the sources of wealth and focused on the strategic sectors such as agriculture, tourism, the renewable energies, industry and further productive sectors capable of protecting the national economy from the risks of oil prices fluctuations.