He added by the end of the season a total of SR5 billion will have been exchanged. “This is 20 percent less than last year’s Haj season,” he said.
Maltani attributed the drop in the number of exchanges to the Arab Spring. “The number of pilgrims has dropped due to the ongoing political upheavals in a number of Arab countries,” he explained.
Maltani noted that though pilgrims have assembled in the Kingdom for about a month now, exchange operations have not yet picked up.
He, however, hoped that large amounts of money would enter the Kingdom during this year’s Haj season so that the exchange market would flourish.
Asked about the possibility some exchange offices might take advantage of the ignorance of some pilgrims and offer them uncompetitive rates, Maltani admitted that this trend existed about two years ago.
He said at that time authorities closed down a number of exchange offices, encouraging the establishment of illegal businesses run by foreigners who would not hesitate to cheat on pilgrims.
“I do not think that this phenomenon exists any more especially as there is now a large number of legitimate exchange offices,” he said.
Maltani asked the Saudi Arabian Monetary Agency (SAMA) to allow the establishment of exchange offices in all regions. “The regulations do not permit this now,” he noted.
SAMA has warned bank branches and exchange offices along the borders and at entry points to be watchful for forged currency. It said anyone caught exchanging forged currency would be imprisoned and fined.
