Financial analyst Sabri Dow affirmed that the crisis of foreign currency leakage outside official channels is not merely about the loss of some allocations, but its danger lies in its cumulative impact on the Central Bank’s official reserves, in exclusive statements to the Qatari “Al-Araby Al-Jadeed” website.
Dow explained that any unofficial withdrawals of foreign currency weaken the state’s ability to intervene in the markets and regulate exchange rates, especially amidst the division of financial institutions and declining oil revenues.
He pointed out that these violations expand the size of the parallel market for foreign currency, which raises inflation levels and negatively affects the purchasing power of citizens.
Dow stated that the widening gap in the exchange market increases pressure on the public budget, which is struggling to cover public sector salaries and subsidize commodity prices.