Two officials at an exchange company told Emirates Today that the movement of money transfers was not affected by the Corona virus, but the movement of buying and selling currencies witnessed a sharp decline as a result of the interruption of travel and tourism and flight flights, noting that the movement of the transfers was normal, during the past week, to coincide with End of March and transfer of employees salaries.

Remittance movement

The Chairman of the Board of Directors of Al Ansari Exchange, Muhammad Al Ansari, said that last week witnessed remarkable growth in the movement of financial transfers, stressing that «the movement of financial transfers was not affected by the repercussions (Covid-19), since last week coincided with the end of March and the transfer of employee salaries, Consequently, they need to transfer money to their families outside the country. ”

He added that «the movement of remittances was strong, during the past week, while the movement of foreign currency purchases and sale decreased by up to 50%, with the support of measures to prevent travel, the decline in tourism activity, the closure of world airports and the suspension of flights.

Al-Ansari pointed out that the competent authorities allowed exchange firms to open their branches regularly outside the commercial centers, while the branches inside the centers adhered to the dates of the center itself, which led to a decline in transactions in the branches located in the centers, and an increase in the demand for independent branches to complete the transactions of financial transfers.

He continued that despite the usual performance for the month of March, it is expected that the movement of transactions in general will decline during the end of the first quarter, due to its impact on the repercussions of the virus on several economic sectors, especially that the decline in the performance of companies, or stopping them as a result of the current global crisis, may reduce the ability of employees to transfer Money for their families.

He indicated that the main income of exchange companies is relative, and fluctuates between the activity of financial transfers and the activity of selling and buying currencies, pointing out that during the summer period, the income is shared between the activities of buying and selling currencies and financial transfers, due to the demand for travel and foreign tourism, while the share of buying and selling currencies decreases during a period Winter, usually, for up to 35% of exchange firms ’income, due to declining travel abroad and the growing demand for money transfers.

Al-Ansari mentioned that the current period is the period of growth of transactions of financial transfers, not the activity of buying and selling currencies, but that this activity witnessed a noticeable decline from the same period last year, at a rate of not less than 50%, due to the repercussions of the spread of Corona.

Buying coins

For his part, the Vice Chairman of the Board of Directors of the Banking and Financial Transformation Institutions in the Emirates, CEO of "Al-Fardan Exchange", Osama Al Rahma, stated that the application of the social divergence policy, in addition to the decline in the purchase of foreign currencies, confuses the exchange market, where exchange companies witness transactions in The state was disrupted by the direct impact of the emerging Corona virus (Covid-19) on the movement of dealers, the process of buying and selling foreign currencies, especially the demand for exchange services that were negatively affected by the closure of commercial centers and the precautionary measures taken to prevent the spread of the epidemic.

He said that the exchange sector, as part of the retail sector, is looking for initiatives from all commercial centers in the country to alleviate the effects of "corona" on companies and stores, including exchange companies, similar to the initiative announced by Al-Futtaim Group to help retailers, whose businesses have been affected recently. , Repercussions of the spread of the virus.

He pointed out that although exchange companies are allowed to resume work from their branches inside the commercial centers and independent branches, the precautionary measures to confront the outbreak of the virus, including social divergence and the reduction of working hours and its strength, reduced the rate of exchange companies' transactions.

Al Rahma praised the exclusion of exchange firms from the closure, especially as they serve a wide sector of residents to provide financial transfer services, noting that despite allowing work, the volume of transactions has been negatively affected, especially in light of the sharp decline in demand for foreign currency buying and selling services, as well as the decline in capabilities The branches meet the needs of dealers at a pre-emergence rate.

He said that exchange companies are committed to the precautionary measures that ensure combating the outbreak of the virus, including the flexibility of working from home for employees, as well as practicing sterilization activities for branches and stores, and following all health authorities ’instructions in the aspect of social divergence, and serving a limited number of dealers inside the branch, to ensure control On an outbreak of the virus.

He added that exchange companies cannot stop work completely, as they provide basic and vital service to the public, but the current indicators show a noticeable impact on the movement of transactions, pointing to the support of the central bank, which ensures the strengthening of the banking sector's ability to cope with the crisis.

Cut down on rents

Vice-Chairman of the Board of Banking and Financial Transfer Institutions in the Emirates, CEO of "Al-Fardan Exchange", Osama Al Rahma, called on the commercial centers and malls in the Emirates to take steps that enhance business continuity in light of these difficult circumstances the world is going through, including postponing rents And reducing them on retail companies to help them overcome the crisis, indicating that exchange companies meet the requirements of a large segment of the public with regard to the process of paying wages and making financial transfers, to ensure the stability of the social life of residents, and not being directly affected by the repercussions of "corona" at the level of In the world.

Requesting commercial centers procedures that enhance the companies ability to overcome the effects of the virus