Home World The Lebanese pound recorded 30,000 against the dollar, its lowest historical level

The Lebanese pound recorded 30,000 against the dollar, its lowest historical level

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The exchange rate of the Lebanese pound fell to 30,000 pounds against the US dollar in historical low, recorded by the Lebanese currency, struggling with chronic economic and political crises.

The coin has lost around 95% of its value since the summer of 2019, when it began to separate from the £ 1,500 exchange rate to the dollar, to which the coin has been pegged since 1997, as Lebanon groans under the weight of an economic collapse. described by the World Bank as one of the worst recessions in modern history. The crisis is in largely due to decades of corruption and mismanagement by political elites.

Lebanon formed a new government in September led by Najib Mikati, one of its goals is to negotiate an International Monetary Fund program, considered important to release international aid to stem the crisis.

The insane rise in the dollar exchange rate continues to dominate the Lebanese scene, which continues to beat record, between expectations that it will continue to rise and the reflection of this increase on a suspicious movement also in the price of vital consumer goods, including bread and fuel.

Economists have attributed the rise in dollar prices to several factors, the most important of which is myself as a consequence of the loss of confidence under the weight of the ongoing internal crisis, with its political and judicial dimensions, which manifests itself in the inability of the Council of Ministers to convene despite the importance of the accumulated files.

In addition to this main factor, other reasons contribute to the growth of the dollar, namely: the relative decline in remittances from abroad during this period, the contraction in exports, which is one of the inflows of the hard currency, and the decline in foreign remittances tourism to due to prevailing negative service and political considerations.

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