Lebanon: new fall of the pound, soaring prices of basic goods and fuel
Lebanese wait in front of a bureau de change in Beirut, January 5, 2022. REUTERS - MOHAMED AZAKIR
Text by: RFI Follow
1 min
A new historic depreciation of the Lebanese pound caused, this Tuesday, January 11, a new rise in the prices of consumer products and fuel.
Many bakeries and food stores have closed and anger has taken place in several parts of Lebanon.
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With our correspondent in Beirut
,
Paul Khalifeh
The further depreciation of the Lebanese pound on Tuesday caused a major disruption in the supply chain of consumer products.
The collapse of the national currency has caused many stores to close their doors pending a stabilization of the foreign exchange market in a country which is dollarized to the extreme and which imports a large part of its needs.
Long queues formed outside bakeries after a warning of a shortage of wheat and flour.
These foodstuffs are out of stock, warned the president of the bakers' union, because the reserves have not been renewed.
In question, the Bank of Lebanon which is slow to provide the necessary funds in dollars to finance the imports.
The fall of the pound led to a further rise in fuel prices.
The 20 liters of fuel oil sold on Tuesday at almost 400,000 pounds, that is to say 65% of the minimum wage which fell from the equivalent of 450 dollars to less than 20 dollars in two years.
Fuel oil is an essential product for heating homes, especially in rural areas, and for operating private generators which have taken over from the state.
A state, which only provides two to three hours of electric current per day.
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Lebanon