Lebanon to allow citizens access to $800 from their bank accounts each month

[Aspen]

Lebanon’s central bank today said depositors with accounts active as of October 2019 would be able to withdraw up to $400 a month plus the equivalent amount in local currency, Reuters reported.

Lebanese banks had locked depositors out of their dollar accounts and blocked transfers abroad since the country was gripped by a financial crisis in late 2019.

Under a central bank circular issued last year, depositors were permitted to withdraw funds from their dollar accounts, paid in the local currency, but only at a rate of 3,900 lira to the dollar.

That rate is only about a third of the value of dollars on the black market – which on Friday traded at upwards of 13,000 lira to the dollar – but it has been the only way many Lebanese have been able to access their funds.

When the circular was issued last year Lebanon’s black market rate was around half of what it is now. Lebanese account holders who withdraw at the 3,900 lira rate are now taking a loss of about 70 per cent on their funds and there have been calls for the central bank to raise the rate.

Friday’s decision to grant depositors up to $800, with the exchange rate calculated at close to market value, follows a chaotic two days in the financial sector.

Details of the decision, which will take effect from 1 July, will be issued later and will apply to the value of accounts as they stood at the end of March 2021, the bank said in a statement.

On Wednesday night the central bank had issued a statement saying it would stop allowing withdrawals at the fixed rate of 3,900 without elaborating.

It quickly back-pedalled yesterday after protests erupted and the governor of the central bank reassured depositors that it was not bankrupt and people’s deposits were safe and would be returned.

Lebanon To Allow Citizens Access To $800 From Their Bank Accounts Each Month | Muhabarishaji News

Lebanon's central bank today said depositors with accounts active as of October 2019 would be able to withdraw up to $400 a month plus the equivalent amount

www.muhabarishaji.com

 

[PakFactor]

Well this ship (Lebanon) has sunk. Not building any industry and just relying on Bikini tourism was never going to save them in the long run. Can't feel sorry for this, and I will say the rest of the Middle East will be going this route -- the next will be Egypt.

 

[HAIDER]

Well this ship (Lebanon) has sunk. Not building any industry and just relying on Bikini tourism was never going to save them in the long run. Can't feel sorry for this, and I will say the rest of the Middle East will be going this route -- the next will be Egypt.

Their main trading route was Syria, which is choked. Massive imports used to come from Syria.

 

[El Sidd]

It's mango season.

Try a few tons.

Try Bharwanas free range Tomatoes too.

 

[PakFactor]

Their main trading route was Syria, which is choked. Massive imports used to come from Syria.

It's not just that fundamentally the country is screwed it always survived on handouts --
They were in a crisis even before the whole Syria Civil War.

 

[Abu Dhabi]

Well this ship (Lebanon) has sunk. Not building any industry and just relying on Bikini tourism was never going to save them in the long run. Can't feel sorry for this, and I will say the rest of the Middle East will be going this route -- the next will be Egypt.

I cannot see the resemblance between Egypt and Lebanon on this matter whatsoever !

also, things are indeed looking terrible for Lebanon, they have been for as long as i can remember, but if circumstances all of a sudden work with the Lebanese people, i would not be surprised if Lebanon becomes on par with Switzerland in 20 years. That's how resourceful and amazingly talented those people are

I wont speak for the whole ME , but for the GCC , it seems the "younger" or "less experienced" leaders of the region are learning from the UAE and are showing great interest to mimic what they see. The UAE is doing very well so this is good news inshallah.

 

[kingQamaR]

Lebanons, 1960s wealth and prosperity was driven by gulf peoples coming there then just for prostitution, drink , gambling. And for me Lebanon was another Amsterdam of filth , not a Switzerland as it’s always being linked to

 

[AZADPAKISTAN2009]

Lebanon was party city , society , pandemic has hit it hard

 

[Iltutmish]

Well this ship (Lebanon) has sunk. Not building any industry and just relying on Bikini tourism was never going to save them in the long run. Can't feel sorry for this, and I will say the rest of the Middle East will be going this route -- the next will be Egypt.

I always wonder why Pakistan with its broken economy and high level of corruption somehow manages to stay alive and kicking but some other countries like Greece, Argentine or Lebanon eff up so much even though having relative stability and access to Western markets. Are there countries with more corruption and bad governance than Pakistan?

Maybe things aren’t that bad in our country alhamdulillah.

 

[Trench Broom]

This is what happens when your country is taken over by the Mullah regime. The suffocating yoke of Tehran is slowly killing Lebanon. Syphoning their wealth through Hezbollah, Lebanon will be left an empty husk of a nation.

We already see the deliberate sectarian nature of the 'aid'. Hezbollah handing out free food only in Shia areas. Stoking more and more tension.

 

[Abu Dhabi]

I always wonder why Pakistan with its broken economy and high level of corruption somehow manages to stay alive and kicking but some other countries like Greece, Argentine or Lebanon eff up so much even though having relative stability and access to Western markets. Are there countries with more corruption and bad governance than Pakistan?

Maybe things aren’t that bad in our country alhamdulillah.

I wish prosperity for every nation, but its not the best Idea to compare the situation of country A to country B that is literally in RUINS to feel better. Its a recipe for disaster since the people of country A will just snuggle up in some comfy corner and never reach their full potential.

I cannot even FATHOM the huge leaps the Pakistani economy can achieve in the next 25-35 years if they focus on educating every single person in Pakistan to a level no less than senior high-school.

place to live and feel safe. Jobs. Education. clean water and electricity. that's it. Yes its very basic but its a great recipe of success

i could safely say a 2-3 trillion dollar economy if not more.

 

[Sifar zero]

Lebanons, 1960s wealth and prosperity was driven by gulf peoples coming there then just for prostitution, drink , gambling. And for me Lebanon was another Amsterdam of filth , not a Switzerland as it’s always being linked to

Its an eye opener for people who think that secularism brings development only hard work does that.

 

[sammuel]

Why Lebanon ran out of money and what it can do now

Why Lebanon ran out of money and what it can do now

LONDON: Over the past two weeks the Lebanese pound has lost more than 20 percent of its value against the dollar on the black market. Since October 2019 the exchange rate has plummeted by 90 percent, affecting everyone in the country. These numbers are stark. On March 16 three money changers...

www.arabnews.com

 

[Patriot786b2]

I always wonder why Pakistan with its broken economy and high level of corruption somehow manages to stay alive and kicking but some other countries like Greece, Argentine or Lebanon eff up so much even though having relative stability and access to Western markets. Are there countries with more corruption and bad governance than Pakistan?

Maybe things aren’t that bad in our country alhamdulillah.

Why are you bringing Pakistan ? Topic is Lebanon. Are you Lebanese? Better digest this topic before embarking on other countries.

 

[PakFactor]

I always wonder why Pakistan with its broken economy and high level of corruption somehow manages to stay alive and kicking but some other countries like Greece, Argentine or Lebanon eff up so much even though having relative stability and access to Western markets. Are there countries with more corruption and bad governance than Pakistan?

Maybe things aren’t that bad in our country alhamdulillah.

My observation is that internally the country is sound as people have money and spend (we're almost a consumption based economy of sorts). The issue only arises when people do not pay taxes to fund public projects because Pakistan never developed a proper tax net system. While the government is now trying to capture people in the scheme the issue arises when the people after 30-40+ years see the plundering of the nation by the upper class and people develop the mind set if they pay taxes it's going to someone else's offshore account, so why even bother. Hence the nation runs into the issue of debt servicing among other things.

Those who complain on TV prices are high for flour, milk, butter and tea -- are bitch's who have nothing better to do and make it a family profession of acting as Patwari's. These are the useless one's who depend on the eldest child working and the rest gather under a power line pole to gossip waiting for there mom and dad to die of so they can live of their bread crumbs.

Most of all, remember one thing, Pakistan was created for a reason Sham, Misr and all other nations existed thousands of years before us, regardless of our ills we are totally different in mindset we are ambitious people lead by sheep's at the time being. But over time we'll overcome this and tear the world a new one -- just look at the our Muni (U.S.) Jo Badnam Hui accusing Pakistan of helping others against them in Afghan.
@Iltutmish
Updated my post after you liked.