Lebanon: C.Bank Secures Dollars to Cover Some Imports
Business
Asharq Al-AwsatLebanon's Central Bank has issued guarantees to secure US dollars for local banks at the fixed official rate that would cover imports of fuel, wheat and medicine. The bank's move on Tuesday aims to ease the demand for dollars at a time when many Lebanese are rushing to exchange shops to convert their local currency into dollars. Lebanon witnessed on Sunday widespread protests over a worsening economic crisis, compounded by worries that the country's dollar-reliant currency is losing value for the first time in more than two decades. Rates of 1,600 or higher were cited last week but two sources said on Monday levels had fallen back to 1,570. The capital Beirut was paralyzed during Sunday's demonstrations as protesters blocked main roads with burning tires. Roads were also blocked in other parts of the country. The Central Bank said the imports it's securing hard currency for are "only for local consumption." The move will cover only imports into Lebanon amid reports that gasoline and wheat are being smuggled to Syria, which is under US and European sanctions. Central Bank Governor Riad Salameh, speaking after a meeting with President Michel Aoun in Baabda on Monday, said the circular will organize the provision of dollars to banks at the official rate. The circular will certainly reduce the pressure on dollar demand at currency exchange shops, Salameh said in a statement from the presidency.
from Asharq AL-awsat https://aawsat.com/english/home/article/1926541/lebanon-cbank-secures-dollars-cover-some-imports
No comments:
Post a Comment