30 years later, Lebanon's central bank chief leaves post
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Riad Salameh's 30-year tenure as governor of Lebanon's central bank comes to an end after allegations of money laundering, fraud, and embezzlement of public funds both at home and abroad.
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Lebanon's Central Bank Gov. Riad Salameh gestures during an interview with AFP at his office in the capital Beirut, Lebanon, Dec. 20, 2021. (AP)
Lebanese central bank governor Riad Salameh today leaves the post he has held for 30 years, and his first deputy, Wassim Mansouri, will assume his duties temporarily, as a replacement for Salameh had not been appointed amid the continuing political crisis in Beirut.
During a press conference held at the Central Bank, Mansouri announced that starting tomorrow, he will assume the duties of the executive authority in the bank, adding that the signature will be entrusted to him.
Mansouri added that his assumption of the leadership comes during a transitional period that “requires the adoption of reform laws,” considering that “we are at a crossroads in the relationship between the bank and the government, and that maintaining the approach of previous policies is no longer an option because the capabilities of the Central Bank are limited.”
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The First Deputy Governor of the Banque du Liban stressed that “the only solution” to stop the state’s dependence on the central bank “lies in improving public finance.”
Mansouri called for legal and integrated cooperation between the government, parliament, and the central bank, announcing that he would not sign any disbursement of government funding that runs against his convictions and the legal framework, stressing that stopping the bank's financing of the government "should not take place suddenly."
He pointed out the necessity of unifying and liberalizing the exchange rate and working to stabilize it gradually, without interference from the Central Bank.
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It is noteworthy that Riad Salameh's mandate to govern the Central Bank was supposed to end at the end of last May. Despite the complaints, summons, investigations, and travel ban issued against him in Lebanon, due to corruption and money laundering charges, he continued to hold his position, which had been extended since 1993, making him one of the longest-serving central bank governors in the world.
This comes as the crisis in Lebanon, politically and economically, intensifies, with the continuing presidential vacancy and the inability to elect a new President of the Republic to succeed President Michel Aoun, and the increasing difficulty of economic conditions for citizens.
