A money changer holding a wad of US dollars. (Credit: Joseph Eid/AFP)
BEIRUT – The Lebanese lira appeared to be recovering on Friday, trading at LL28,000 to the US dollar on the parallel market, after a week of high volatility during which it reached a peak of LL33,000, according to lirarate.com, an online platform that complies rates from currency exchangers.
Here’s what we know:
• On Tuesday, the lira reached a record level of depreciation, trading at more than LL33,000 against the greenback for the first time since the beginning of the socio-economic crisis more than two years ago. This volatility had caused an increase in fuel and bread prices, which pushed Lebanese citizens to take to the streets on Wednesday and Thursday to express their anger, while nearly three-quarters of the population lives below the poverty line.
• The official rate of the national currency is still set at LL1,507.5 against the US dollar. But on the parallel market, it has lost, since October 2019, almost 95 percent of its value. Faced with this crisis, authorities have still not taken measures to stem the economic and financial collapse. A meeting is scheduled next Sunday between Lebanese negotiators and a delegation from the International Monetary Fund, which advocates the introduction of a floating exchange rate.