After complaints of currency shortage, the Palestine’s Monetary Authority pumped more Jordanian dinars into the local market.
The Jordanian dinar domestic price witnessed an increase, compared to the rate set by the Central Bank of Jordan.
The Central Bank of Jordan set the exchange rate of one dinar of 4.61 shekels. However, its price on the Palestinian market is at more than 4.85 shekels. This created discontent among citizens.
The PMA announced it had pumped more than JD50 million in cash into the local market during the last three weeks.
This intervention comes to meet the rise in demand for the Jordanian dinar currency in the recent period. It also aims to address the complaints made by many citizens about the banks’ lowering of the ceiling for cash dinar withdrawals.
PMA said the cash had been pumped into the local market through bank branches and exchange companies operating in all governorates of the country.
Observing the market
PMA said, “we are monitoring developments in terms of liquidity in all bank branches to ensure the continued provision of cash liquidity sufficient to meet the needs of citizens on time”.
The authority is continuously working to monitor the financial institutions’ compliance under its supervision and exchange currencies according to the prevailing market rates.
Palestine lacks its a national currency. Therefore, Palestinians trade in three major currencies: the Israeli Shekel, the US Dollar, and the Jordanian Dinar.
The Palestinian market is also witnessing a fluctuation in the currency exchange rate according to the quantities offered from it. This creates a state of imbalance In the Palestinian territories.
Israel controls completely controls the land, sea and air ports of the State of Palestine.