Dozens of angry residents of Beirut gathered outside a private bank on June 15, 2023, and damaged its office after failing to withdraw their money. The local media reported that they clashed with the security forces outside the bank, burning tyres, breaking windows and damaging cash dispensers.

In March, the Central Bank of Lebanon allowed commercial banks and money changers to sell the US Dollar at a price of 90,000 Lebanese Pounds, then to deal it to citizens after three days in order to stop the collapse of the currency. However, the depositors considered the move unjust, especially after the price of the US Dollar reached about 145,000 Lebanese Pounds on the black market. The annual inflation rate climbed to 269% in the West Asian nation in April. According to the World Bank, it was the highest rate globally.

Lebanon has been facing a crippling economic crisis since 2019 due to a foreign currency shortage and, thus, cannot pay deposits in US Dollar accounts, which (according to the World Bank) led to one of the worst economic crises the world has seen in modern times. Allegations that the concerned authorities in Lebanon have smuggled money out of the country have sparked widespread anger as the Lebanese people have not been able to withdraw money from banks since October 17, 2019.

Following the protests that started in 2019 because of the financial crisis, commercial banks tightened limits on foreign currency withdrawals to between USD 200 and USD 300 per week. And when the COVID-19 Pandemic began, cash withdrawals from those accounts were completely halted, and a limit was set on local currency. Nearly 30,000 students, currently living outside of Lebanon, are facing problems due to the economic crisis and restrictions on foreign exchange transfers.

The blast in the Port of Beirut in August 2020 created a new crisis for the Government that compounded growing economic troubles in Lebanon, which has long struggled with high public debt and unemployment.

Considering the political forces and rulers as the main cause of the economic crisis, the people of Lebanon are demanding the establishment of a diminished Government, consisting of technocrats, free of sectarian political parties that have monopolised power for many years.

Source: TRTWorld (Instagram)

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Published by Koushik Das

Koushik Das (born on May 16, 1976 in Kolkata) is a career journalist. Based in the Indian capital of New Delhi, Koushik writes mainly about foreign policies and current geopolitical issues, and rarely about other topics. His own political ideas are highly influenced by Antonio Gramsci, Louis Althusser, Michel Foucault, Michael Oakeshott and others. English philosopher and political theorist Oakeshott (Dec 11, 1901-Dec 19, 1990) says that “in political activity, men sail a boundless and bottomless sea. There is neither harbour for shelter nor floor for anchorage, neither starting-place, nor appointed destination. But we have to keep afloat”. (Rationalism in Politics, 1962) As a student of Political Science, Koushik loves to share his views on issues, which have great impacts on his thought process (and also on India, South Asia and of course on the global community), with his readers through his website – Boundless Ocean of Politics. By doing so, he tries to keep himself afloat. You will find some of his articles in https://inserbia.info/today/ (https://inserbia.info/today/author/kou_das13_i/), as he has been trying to assess the global geopolitics since 2003. You can also mail him at kousdas@gmail.com View all posts by Koushik Das