Today, Friday, June 11, 2021, the average exchange rate of the dollar against the Lebanese pound increased by about 50 pounds during the “black market” transactions.
And the average price of the dollar against the Lebanese pound, on the unofficial “black” market, increased today, Friday, to about 14,750 pounds for purchase, and 14,850 pounds for sale, compared to about 14,700 pounds for purchase, and 14,750 pounds for sale, yesterday, according to local media.
A new warning from the IMF
The International Monetary Fund warned Lebanon against implementing the Lebanese Central Bank’s decision that allows holders of dollar deposits to withdraw from their deposits without implementing a reform program.
The International Monetary Fund believes that such a step constitutes a “grave danger” and would increase inflationary pressures, devalue the currency and severely damage living standards.
The fund said, on Thursday, that proposals for monitoring and controlling capital, and withdrawing from deposits in Lebanon need to be part of broader policy reforms to be sustainable.
“In our view, proposals to implement capital controls and formalize the withdrawal of deposits will need to be part of a broader set of policy measures and reforms to be feasible and sustainable,” IMF spokesman Jerry Rice told a news briefing.
And the Central Bank of Lebanon said last week that depositors of existing accounts dated October 2019 will be able to withdraw up to $400 per month, in addition to the equivalent in Lebanese pounds.
This came after Lebanese banks prevented depositors and their dollar accounts from being transferred abroad.
Lebanese banks set the price of 3850 pounds to the dollar, when withdrawing the dollar to small depositors a while ago, and it is in effect until today.
And the Syndicate of Money Changers in Lebanon established the pricing of the dollar exchange rate against the Lebanese pound, with a moving margin between the price of 3850 pounds for purchase, and 3900 pounds for sale, as a maximum.
The exchange rate of the dollar in the Central Bank of Lebanon remained at 1507.5 pounds per dollar, and it is allocated to basic commodities only.
Since the summer of 2019, Lebanon has witnessed an accelerating economic collapse, exacerbated by the horrific explosion of the Port of Beirut on the fourth of August, and the measures to confront the Corona virus.
The crisis plunged a large segment of citizens into poverty, and in March 2020, Lebanon failed to pay its foreign debts, then negotiations began with the International Monetary Fund on a recovery plan that was later suspended due to differences between the Lebanese negotiators.