Ahmed bin Daghr, the cause of the deterioration of the "riyal", begs Saudi Arabia to save him
English - Monday 12 July 2021 الساعة 07:00 pm
Aden, NewsYemen, Exclusive:
Former Prime Minister Ahmed Obaid bin Daghr revealed President Hadi's request from Saudi Arabia to intervene to stop the process of the collapse of the local currency, after it broke yesterday the barrier of 1000 riyals against the US dollar.
In a series of tweets, Ibn Daghr indirectly acknowledged his responsibility for the riyal collapse disaster that he started during his reign, as he indicated that the dollar exchange rate exceeded the five hundred riyals barrier in January 2018.
Ahmed bin Daghr assumed the position of Prime Minister in April of 2016 under pressure from the Muslim Brotherhood, after they succeeded in convincing President Hadi to dismiss his deputy and former Prime Minister Khaled Bahah, under the allegations of an American plan to impose him as a consensual president in his place.
Ibn Dagher assumed the position at a time when the riyal maintained its value despite the conditions of the war, and the rise of the US dollar was slight and did not exceed 250 riyals at the time, and only a year and a half after the man’s stay in the position, the price of the riyal collapsed by 100% and the price of the dollar exceeded the barrier of 500 riyals and Ibn Daghr’s confession taunted himself.
Ahmed bin Daghr and his government are accused of establishing the local currency collapse disaster after the decision to print the currency in 2017, without any cover of hard currency, and the matter doubled with the bank’s decision at the time to change the shape of the local currency, which made it easier for the Houthi group to prevent it from trading in its areas of control, which worked to accumulate it in areas legitimacy.
However, Ibn Daghr believes that the collapse of the currency during his tenure of the government is due to two main reasons, "they are: the state's public treasury (the central bank) is devoid of foreign currencies with the increased market need for dollars to provide the living needs of the population in wartime conditions," he claimed.
During the two years of the man's assumption of the position, the government did not disclose the real number of billions that were printed during that period, in the absence of a declared budget on its revenues and expenditures that clarifies the fate of these billions.
Which raises doubts about the fate of this money amid accusations by activists that a large part of it was pumped into the market to withdraw hard currency to be transferred abroad, and activists reinforce these accusations by the size of the exchange shops that were opened in the liberated areas during the years 2016-2018.
Banking experts believe that the size of these shops and companies is one of the main reasons - besides printing the currency - in the collapse of the Yemeni riyal as a result of the speculative operations that take place between them, which was acknowledged by the current Prime Minister Maeen Abdul-Malik last February, who confirmed its existence and said that the logical price of the dollar is Less than 700 riyals.
Experts point to the sudden collapse of hard currencies late last year with the announcement of a certain government, as the price of the dollar at the end of last December reached 625 riyals without any government intervention, which reinforces the presence of currency speculation.
This major collapse or great rise of the local currency came at the time with the news that Saudi Arabia intended to support the government by providing a financial deposit greater than the previous deposit that it made in 2018, amounting to two billion dollars, but that did not happen, to show information about the existence of Saudi conditions for providing this grant .
According to media reports, the most prominent Saudi conditions are to submit a plan from the government to control the collection of revenues in the liberated governorates and supply them to the Central Bank, which 80% do not get due to corruption and the Prime Minister’s admission.
At the beginning of this month, the editor-in-chief of Akhbar Al-Youm newspaper, Saif Al-Hadiri, who is close to General Ali Mohsen Al-Ahmar, revealed that the Saudi ambassador to Yemen, Muhammad Al Jaber, had set conditions in return for his country providing a new deposit in the Central Bank.
Al-Hadiri said, in a tweet to him on Twitter, that the conditions of the Saudi ambassador are summed up in changing the leadership of the Central Bank in Aden, as well as the return of the government to Aden without implementing the security and military aspect of the Riyadh Agreement.
Apparently, the legitimacy is betting on pushing the decline of the riyal further in order to blackmail Saudi Arabia and break its conditions, which is suggested by Ahmed bin Daghr's recent language in which he warned of the repercussions of this and said that "the riyal is exhausted, exhausted, and has lost its value, and is overseeing the final fall."
Reminding Saudi Arabia of its previous response to his legitimate appeal with the dollar reaching the barrier of 500 riyals by depositing the previous deposit, he addressed it in the language of sympathy and blackmail at the same time, as he said, "It is a real famine awaiting our people, your people in Yemen."
