The Ministry of Finance of the Government of National Unity has underscored that the current crisis of liquidity scarcity was due to the repercussions of the continued parallel overspending, which depends directly on the printing of counterfeit currency.
“Lack of interest in ceasing dealing with counterfeit currency weakened citizens’ confidence in dealing with banks and they refrained from depositing their savings at the banks, for fear that banks will return their savings to them in the form of counterfeit currency that will be canceled, and they prefer to complete their transactions through unofficial methods and in the currency, they trust,” the ministry explained in a statement.
It pointed out that what appears to be a problem in covering the credits implemented by the banks was the implementation of credits without covering them with dinars or with only partial coverage, and most importantly by covering them through parallel spending, and this made the value of the liquidity supplied to the banks disproportionate to the volume of foreign exchange that the banks sold.
Economy
