Freefalling Lebanese currency hits unprecedented new low

By Al Mayadeen
Source: Agencies
14 Dec 2021 15:59

The Lebanese federations and unions of the road transport sector have said they were going on strike as the LBP/USD crossed the 28,000 LBP threshold.

Lebanon's crisis reaches unprecedented levels.

The federations and unions of the road transport sector in Lebanon said Thursday they were resorting to a strike in light of the earth-shattering hike in fuel prices all over the country.

"The prices of oil derivatives used to come out one every week, but now it comes out twice a week, and it might go up to three times over US dollar price increases and fuel demand," Land Transport Unions Head Bassam Tlais said Tuesday.

"Logic has it that the state must follow its people and preserve their purchasing power, not follow traders without taking the people's pains into consideration," he stressed.

The Lebanese pound collapsed further on Tuesday, hitting a new low with one US dollar surpassing the threshold of 28,000 LBP, which is unprecedented in the history of Lebanon.

The Lebanese currency has been diminishing since the 2019 crisis, at the beginning of which $1 USD was equal to 1500 LBP.

2022 Lebanese Parliamentary Elections

In Lebanon, the local currency has lost about 90% of its value, aggravating the socio-economic situation of the majority of the Lebanese population and sending the prices of the most basic necessities and commodities through the roof. After more than two long years of an unprecedented economic crisis, Lebanon is holding its parliamentary elections on May 15. Will the results bring about change or provide solutions to the multiple crises in the country?