Yemen Monitor / Aden / Exclusive:
The Central Bank of Yemen, from its headquarters in Aden, issued an important new directive on Sunday addressed to all exchange companies and institutions operating in the country, as part of its ongoing efforts to regulate the banking sector and strengthen protection of the national economy.
The directive strictly prohibits unauthorized transactions, explicitly banning exchange companies and establishments from accepting or holding any funds belonging to government institutions or public entities, stressing that such practices fall outside the legal framework.
The Bank also required exchange companies to immediately disclose any government-related funds and to transfer them to the respective government accounts at the Central Bank within three working days from the date of the directive, along with submitting detailed reports on those funds.
The Central Bank emphasized that strict legal measures will be taken against any company or exchange institution found to be in violation, in order to ensure full compliance with relevant laws and regulations, foremost among them the Law on Regulating Exchange Business No. 19 of 1995 and related presidential decrees.
This directive comes within the Central Bank’s broader efforts to stabilize the exchange rate, protect state funds, and curb speculative activities in the black market, thereby strengthening confidence in the financial and banking sector in the country.
