The role of the treasury public in the money market

The fall in oil prices since May 2014 has put Algeria in a liquidity crisis of unprecedented magnitude. This paper examines how the Treasury became a permanent borrower in the money market. It then explains the channels for transmitting liquidity between the various market players thanks to the presentation of the institutional framework of the Algerian money market. Thus, he proposes an econometric model to determine the impact of the variation in liquidity of the Treasury on the liquidity of the economy. Finally, he suggests reviewing the status of the Treasury to allow it to move towards active management of its funds.