Empty shelves, fear of hunger: Lebanon's currency is in free fall

Lebanon is currently experiencing one of the worst economic crises in its history: the Lebanese pound is dropping, inflation is galloping. Prices in the supermarkets are skyrocketing. People's anger is growing.

Because of the severe economic and financial crisis, the Lebanese complain about empty supermarket shelves and closed shops. The Lebanese pound was at one of the lowest levels ever against the dollar. A dollar was just under £ 10,000 on the black market. The currency has thus lost more than 80 percent of its value. At the same time, inflation gallops.

"Lebanon is at an end," complained a woman who calls herself Rana in a supermarket in the capital Beirut. She was visibly shocked by the sharp rise in prices. "We can't go on like this. Lebanon is heading straight for hunger."

Another woman groaned that she could hardly buy the necessary goods for her children: "If you enter a supermarket these days, you will either cry or run out quickly." Some stores remain closed. Signs say: "We apologize, but we can no longer offer you good prices." Long lines of bread buyers form in front of bakeries.

In May inflation was around 56 percent year-on-year, and food prices even climbed by more than 80 percent. The small country on the Mediterranean has been experiencing the worst economic and financial crises since the end of the civil war in 1990. In March the government was unable to service bonds for the first time.

Traders lack the foreign exchange

Lebanon is one of the most indebted countries in the world. The government is therefore negotiating a rescue program with the International Monetary Fund (IMF). The talks are slow. Among other things, the Lebanon government has so far not been able to provide uniform figures on the level of debt. Critics accuse her of showing that she is once again unable to reform. The Lebanese pound has been pegged to the dollar for years.

A dollar cost about £ 1,500. Much of the goods in the supermarkets have to be imported from abroad. However, the dealers lack the foreign exchange to fill the shelves sufficiently. The prices of domestic goods are also rising because the fuel that is also imported is becoming more and more expensive. Many Lebanese are currently hoarding candles because they fear an end to fuel supplies.

. (tagsToTranslate) economy (t) Lebanon (t) financial crisis