مجلة الباحث
Volume 16, Numéro 16, Pages 19-27
2016-06-01

The Effectiveness Of Bank Of Algeria In Controlling The Excess Liquidity During The Period (2001-2015)

Authors : Ennemri Nasreddine .

Abstract

This study aimed to investigate the effectiveness of bank of Algeria in controlling the excess liquidity, in order to determine whether this bank kept a good coordination between the value of foreign exchange reserves and the amount of its monetary reserves. In fact, the study used correlation and multiple regression analysis as statistical tools. These tools are very important to verify whether the monetary reserves participated in reducing the excess liquidity. The study concluded that the local and the foreign monetary reserves available at the bank of Algeria were among the main factors affecting the excess of liquidity and the inflation. Also, they constitute a financial resource, for the Algerian government, to finance its public expenditure in the near future.

Keywords

Bank of Algeria, Excess Liquidity, Foreign Exchange Reserve, Inflation.