The average ouguiya:dollar exchange rate depreciated during 2010, although it appreciated slightly between the third and fourth quarters. We expect that, despite the Mauritanian government's obvious preference for exchange-rate stability with the dollar, the exchange rate will appreciate slightly over the next two years as a result of the large influx of foreign exchange, the outlook for increased foreign direct investment and exports. As a result, we forecast that the exchange rate will appreciate to an average of UM273.3:US$1 in 2011 and further to UM267.8:US$1 in 2012.