Algerian black market for USD, EUR thrives, exacerbating economic challenges, as official and black market exchange rates diverge, depleting citizens' purchasing power.

The Algerian black market for foreign currencies underscores the challenges faced by the nation's economy. The state struggles to control demand for currencies like the US dollar and euro as trust in the Algerian dinar depreciates, leading to a growing discrepancy between the official and black market exchange rates. This subsequently reduces the purchasing power of everyday Algerians while the government attempts to maintain state spending, subsidies, and price controls. It is estimated that the black market for foreign currency in Algeria is worth around $7 billion.

February 16, 2024
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