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July 1, 2024 Readings

Common Household Cleaning Product Found To Release Trillions of Microplastic Fibers

Widespread floods in Bangladesh leave over 2 million people stranded – The Watchers

Neo-Nazi Junta’s F-16s Flying From NATO Countries – Great Way to Start WW3 – Global Research

Amazon Sparks Outrage with “Do Not Promote” Book Ban List Following Biden Admin Pressure

Russia promises retaliation against US for Ukraine strike on Crimea | Reuters

Massive sewage spill prompts beach closures along California’s Central Coast | KTLA

New tipping point discovered beneath the Antarctic ice sheet

What’s Our Disease?

Is Globalization Dead? Two Views, Brad Setser’s and Mine – MishTalk

You Can’t Taper a Ponzi Scheme – International Man

Inflation Keeps Coming in Waves, but Economist Can’t Even Get on their Surfboards

Yet Another Self-Reinforcing Feedback Loop Ensures the Irreversibility of Climate Change

The Big Squeeze: Inflation as a Cover for Profiteering

What happened to Canada? – Lean Out with Tara Henley

Escalating Israel-Hezbollah clashes threaten to spark regional war and force US into conflict with Iran

Norway starts stockpiling grain again, citing the pandemic, war and climate change | AP News

Sydney receives a year’s worth of rain in less than six months, entering one of its wettest winters – The Watchers

From Black Sea to US Midwest, extreme weather threatens crop output | Reuters

Ending Growth Won’t Save the Planet

A Conservative Wins in Toronto for the First Time in Over 30 Years – MishTalk

The Third World War Has Been Cancelled. – by Aurelien

Assange’s Plea: A Controversial End to a 14-Year Legal Struggle and the Impact on Free Speech

Weekend Reads: Big Media’s Big Mistake

The Collapse Is Coming. Will Humanity Adapt? – Nautilus

Delhi Police Deploys Water Cannons on Water Shortage Protesters, Netizens Respond – Thar Tribune

Climate Code Red: 1.5 degrees Celsius is here and now

The “EU Defense Line” Is The Latest Euphemism For The New Iron Curtain

Hurricane Beryl To Intensify Into “Extremely Dangerous Cat. 4” Storm | ZeroHedge

More Than 40% of U.S. EV Buyers Want To Go Back To Combustion Engine Cars, McKinsey Study Says

13 Nations Sign Agreement to Engineer Global Famine by Destroying Food Supply – News Addicts

June 30, 2024 Readings

St. Petersburg International Economic Forum (SPIEF) 2024: Marking the Rise of the Global South Century and Decline of Western Economies

Up to half a million NATO soldiers waiting to enter Ukraine

It’s the End of the World As We Know It. The American-NATO Rush Toward Nuclear War with Russia. Scott Ritter – Global Research

Our Rulers Are Literally Driving Us Crazy

Doug Casey on Insider Trading… Why Politicians Can Do it and You Can’t

You Keep Using the Term ‘Authoritarian’ ⋆ Brownstone Institute

Over 80 UK war planes deployed from Cyprus to Lebanon since 7 Oct: Report

Dam In East Texas On ‘Potential Failure Watch’ | ZeroHedge

Lithium: A Clean Energy Solution with a Dirty Secret | OilPrice.com

Iran Threatens Israel With ‘Obliterating War’ If It Attacks Lebanon | ZeroHedge

Low snow on the Himalayas threatens water security: Study

Groundwater Depletion Maps Reveal Depths of “Extreme” and “Exceptional” Mexican Drought

The Supreme Court Punts on Censorship – by Matt Taibbi

Sky’s the Limit For Our Debt and the Money Supply

It was the media, led by the Guardian, that kept Julian Assange behind bars

Are Humans Worth More Than Other Organisms?

Climate crisis sees rise in illegal water markets in the Middle East

Panama Canal agency warns water shortage “is not over”

From Assange to 9/11 to Supply Chain Failures: When Can You Believe Government Explanations?

Pyongyang Says It Will Send Troops to Ukraine Within a Month

Electing the Next Dictator: Ugly Truths You Won’t Hear from Trump or Biden – Global Research

Trade War Between Europe and China Is Creeping Closer – Global Research

US, UK and EU Preparing for War Against Russia. Reinstating the Draft – Global Research

America’s Dark Day – Scott Ritter Extra

Scale Up Nature

Big Banks Pass an Extreme Stress Test Including 10 Percent Unemployment – MishTalk

As Putin floats peace terms, US-Ukraine call for prolonged war

G3P: Global Public-Private Partnerships and the United Nations

Here’s Why These Troubling Trends Mean Mass Chaos is Likely Coming to the West…

Chaos is Spreading Everywhere! – by David Haggith

Where and Why Tornado Risk is Growing as Climate – and Communities – Change

How To Stay Cool Without Air Conditioning

Heatwaves and wildfires strike across US as tropical storm forms in gulf | Extreme weather | The Guardian

We’ve Hit Peak Denial. Here’s Why We Can’t Turn Away From Reality | Scientific American

Scientists “Puzzled and Concerned” – by Guy R McPherson

Our Propagandized Society Is Like A Sick Man Who Doesn’t Know He’s Sick

What Would Happen If This Event of 41 Years Ago Happened Today? – Global Research

 

June 29, 2024 Readings

Attempting a new format (that I will probably fiddle with for a week or so) for sharing articles of interest. Below you will find a number of links to those articles. Note that I may add a few before the day ends so check back. Hope this works for everyone…

First-Responder Trauma: A New Framework for Activists

The Future We Deserve

Climate Disaster Preparation Guide | by Climate Survivor | Jun, 2024 | Medium

The World Lost Two-Thirds Of Its Wildlife In 50 Years. We Are to Blame

How Does Anyone Still Care About This Bullshit?

Julian Assange Is Free. Washington Crafter ‘A Face Saving Deal’. Massive Violation of Habeas Corpus as a Favour to Washington. Paul C. Roberts

Health Prepping: Microbiome Maintenance is Key to…Everything

The Coming US Budget Disaster Will Impoverish Americans | Mises Institute

oftwominds-Charles Hugh Smith: 10 Geopolitical / Financial Risks to the Global Economy

Welsh Police Pay Home Visit To Man For Displaying Reform UK Political Sign

American Pravda: JFK, LBJ, and Our Great National Shame, by Ron Unz

The Spread of Artificial Intelligence. The Emergence of ‘Deep Fakes’, Masterful Distortions. ‘Who Controls the Past Controls the Future’

Fact-Checking Network Says Online Face Checks Aren’t Censorship

US Readies To Evacuate Americans From Lebanon If War Erupts, Marines En Route | ZeroHedge

The UN: “We must all work to eradicate (hate speech) completely.

UN food chief: Poorest areas have zero harvests left

Where is the Sense of Urgency? – by Matt Orsagh

A water war is looming between Mexico and the US. Neither side will win | CNN

 

Hezbollah launches first-ever Lebanese airstrike on Israeli base

Hezbollah launches first-ever Lebanese airstrike on Israeli base

The resistance group used, for the first time, a drone equipped with two missiles to attack Israel’s Metulla site

(Photo credit: X)

Hezbollah launched the first-ever Lebanese airstrike on an Israeli target on 17 May, using a never-before-seen drone for the operation.

“In support of our steadfast Palestinian people in the Gaza Strip and in support of their brave and honorable resistance, the Islamic Resistance attacked at 1:38 pm on Thursday 5/16/2024 the Metulla site, its garrison, and its vehicles with an offensive drone armed with two S5 missiles,” Hezbollah said in a statement on Thursday afternoon, marking the sixth of 13 operations that day.

“When it reached its designated point, it fired missiles at one of its vehicles and the elements gathered around it, killing and wounding them. After that, it continued its assault on its designated target and hit it accurately,” the statement added.

The resistance group released footage of its drone strike on Metulla. Two missiles are seen being fired from each side of the drone, which then descends towards its final target and explodes.

Three Israeli soldiers were injured – with one seriously wounded – in the drone attack.

Coinciding with Israel’s brutal assault on Rafah and its relentless attacks across the Gaza Strip, Hezbollah has stepped up its operations in recent days.

While it has increasingly deployed the use of attack drones in its operations over the past several months, this is the first time a drone equipped with missiles has been used to attack targets from above – not only since the start of this war but for the first time in Lebanon’s history.

Hebrew news outlet Channel 13 noted on 16 May that Hezbollah’s attacks have become bolder and more sophisticated, and are resulting in more Israeli casualties.

…click on the above link to read the rest of the article…

 

‘Where can you hide from pollution?’: cancer rises 30% in Beirut as diesel generators poison city

Lebanon’s economy and electricity system are broken and much power is now generated locally, with devastating effects on air quality and health

Smog hangs over Beirut most days, a brownish cloud that darkens the city’s skyline of minarets and concrete towers. An estimated 8,000 diesel generators have been powering Lebanese cities since the nation’s economic collapse in 2019. The generators can be heard, smelled and seen on the streets, but their worst impact is on the air the city’s inhabitants are forced to breathe.

New research, to be published by scientists at American University of Beirut (AUB), has found that the Lebanese capital’s over-reliance on the diesel generators in the past five years has directly doubled the risk of developing cancer. Rates of positive diagnosis, oncologists say, are shooting up.

“The results are alarming,” says Najat Saliba, an atmospheric chemist who led the study. In the area of Makassed, one of the more densely populated parts of Beirut tested, levels of pollution from fine particulates – that is, less than 2.5 micrometres in diameter (PM2.5) – peaked at 60 micrograms a cubic metre, four times the 15 mcg/m³ level the World Health Organization says people should be not exposed to for more than 3-4 days a year.

Since 2017, the last time AUB took these measurements, the level of carcinogenic pollutants emitted into the atmosphere has doubled across three areas of Beirut. Saliba says calculations suggest cancer risk will have risen by approximately 50%.

The Beirut skyline, just visible in the far distance amid a haze of smog caused by traffic and generators
The Beirut skyline is just visible amid a haze of smog. Photograph: NurPhoto/Getty Images

“It’s directly related,” she says. “We calculate the cancer risk based on the carcinogen materials emitted from diesel generators, some of which are classified as category 1A carcinogens.”

…click on the above link to read the rest of the article…

Israel Making Preparations To Launch Invasion Of Southern Lebanon

Israel Making Preparations To Launch Invasion Of Southern Lebanon

Israel has continued signaling that it is preparing to launch a major new operation against Hezbollah in southern Lebanon following months of tit-for-tat escalation. Some 80,000 Israeli residents whose homes are near the border have remained evacuated since October and November, and are essentially internally displaced. Because of this, pressure has mounted on Israeli leaders to do something that would allow their return, and ensure the security of Israel’s north.

Israeli media, particularly YNet News reported on Sunday that the Israel Defense Forces (IDF) is preparing “contingency plans” for a wide-scale attack on Lebanon. Israeli Army Northern Command head Major General Ori Gordin in a meeting with settler leaders from northern Israel stated, “We are preparing contingency plans to launch an attack in Lebanon. Our commitment, mine, is to change the security situation so that the residents can be returned home.”

Via AFP

YNet further unveiled plans to initiate the army’s “Operation Steady Anchor” which aims to protect civilians during the expected escalation in fighting. Hezbollah is widely estimated to possess over 150,000 rockets – some of which can likely reach Haifa and Tel Aviv.

The operation involves setting up dozens of mass shelters utilizing fortified abandoned buildings and underground parking garages. This is to protect civilians in the instance of a mass Hezbollah rocket barrage. The shelters will be equipped to allow families to take refuge anywhere from a few hours to up to several days.

In another key sign of Tel Aviv’s war preparations, the IDF has been conducing a logistics supply drill focused on its northern bases and positions, and in preparation for a Lebanon offensive This has included practice runs delivering ammo, equipment, water, and fuel to simulated “maneuvering forces” operating in southern Lebanon.

…click on the above link to read the rest…

War Expands With Massive Israeli Airstrikes 60km Deep Into Lebanon

War Expands With Massive Israeli Airstrikes 60km Deep Into Lebanon

The Israel-Hezbollah war is expanding, which was on display Monday as Israel for the first time struck near a large city which is deep inside Lebanon, far away from the border, in the region of Ghaziyeh.

Israel Defense Forces (IDF) Spokesman Rear Adm. Daniel Hagari has confirmed in a statement that military was behind large airstrikes that rocked a town just south of Sidon earlier in the day. Hagari the strikes targeted Hezbollah weapons depots, and also served as a response to an explosive-laden that struck northern Israel previously on Monday. Video captured the moment of the massive airstrikes:

Sidon is the third largest city in Lebanon, and the region that was attack lies at least 45-60 kilometers from the Israeli border. So far the tit-for-tat strikes which stretch back to early October, following the Hamas terror attack on southern Israel, have been confined to southern Lebanon. Fighting has by and large stayed to within kilometers of the border on either side.

“Israeli jets attacked near Sidon on Monday, Israeli media reported, citing the Hezbollah-affiliated Al-Akhbar newspaper,” regional media also confirms“The two strikes occurred in the region of Ghaziyeh some 60 km from Israel’s northern border.”

Videos of the strikes show a huge fireball erupt high into the air…

…click on the above link to read the rest…

Lebanon caretaker PM warns of total collapse if reforms not implemented

Lebanon caretaker PM warns of total collapse if reforms not implemented

The caretaker PM’s warning comes as the Central Bank is considering completely halting its funding of the Lebanese state

(Photo credit: Dalati Nohra/Handout via Reuters)

Lebanon’s caretaker Prime Minister, Najib Mikati, warned on 3 August that the country’s total economic collapse will be imminent in the event that the Central Bank and its newly appointed governor fail to implement reform policies called for by the International Monetary Fund (IMF). 

“Lebanon will not be able to secure medicine or pay salaries in foreign currency, in the event that the monetary and economic plan presented by the Acting Governor of the Banque du Liban, Wassim Mansouri, is not approved,” the caretaker prime minister said. 

“Mansouri’s plan is consistent with the government’s plans, and our goal is to approve these plans and not waste time because the goal is to save the country,” he said.

In reference to consultations made recently between Mikati and the interim bank governor, the former said that there is “harmony [in the Central Bank] with the government’s plans.”

However, Lebanese media reported on 3 August that the Central Bank is considering completely halting its funding of the state as of Monday, 7 August. 

Upon taking the reins of the Central Bank following the end of Riad Salameh’s term last month, Mansouri said: “I will not sign on any expenditure for financing the government if it contravenes with my principles or the appropriate legal framework.” 

Days later, on 3 August, Lebanon’s parliament failed to pass a law that would allow the state to borrow foreign currency from the Central Bank. Mansouri’s condition for lending funds to the state from the Central Bank was the passing of the law, and the reimbursement of the funds “through a realistic plan,” Naharnet reported. 

…click on the above link to read the rest…

Hyperinflationary Hell: Lebanese Central Bank Devalues ‘Lira’ By 90%

Hyperinflationary Hell: Lebanese Central Bank Devalues ‘Lira’ By 90%

Cash is now king in Lebanon, where a three-year economic meltdown has led the country’s once-lauded financial sector to atrophy and turned the country into a Venezuelan-esque hyperinflationary hell. The country has been hit hard by events over the past few years, starting with COVID.

In August 2020, the city of Beiruit was practically destroyed by a massive blast which killed at least 200 people and triggered as much as $15 billion in damage

In March 2021, violent protests erupted across Lebanon as the currency collapse accelerated and with it the economy and people’s living standards.

And most recently, In December 2022, the Lebanese parliament failed for the eighth consecutive time to elect a new president, as a majority of lawmakers opposed the options laid on the table.

The prolonged power vacuum only exacerbates the situation, as Beirut is currently unable to enact sweeping reforms demanded by international lenders as a condition for releasing billions of dollars in loans.

All of which has sent the ‘parallel’ FX rate to a stunning 60,000/USD (compared to the official Pound – often nicknamed ‘Lira’ – rate of 1500/USD)…

Source: LiraRate.org

As Reuters reports, Zombie banks have frozen depositors out of tens of billions of dollars in their accounts, halting basic services and even prompting some customers to hold up tellers at gunpoint to access their money.

This has prompted bank runs…

Not a week goes by without Lebanese depositors storming their own banks in a desperate attempt to access savings frozen after the country’s economy collapsed.

Banks began imposing draconian limits on withdrawals and transfers in 2019, leaving depositors able to access only a fraction of their savings in dollars and Lebanese pounds.

and heists…

The National has recorded 27 depositor bank “heists” since the start of the year, including armed and unarmed hold-ups and sit-ins.

…click on the above link to read the rest…

Hezbollah Threatens Israel With War Over Disputed Gas Field

Hezbollah Threatens Israel With War Over Disputed Gas Field

  • Lebanon’s armed Hezbollah group threatened Israel that drilling at the Karish gas field could result in war.
  • Israel and Lebanon are in a years-long dispute over the demarcation of their territorial waters in the Mediterranean.
  • Israel has already warned early on that any damage to the drilling rig in Karish will result in an immediate reaction.

Lebanon’s armed Hezbollah group warned Israel on Sunday against drilling at an offshore gas field, renewing a threat that it could escalate the offshore border demarcation dispute to a war.

Hezbollah, backed by Iran, aired a video on its Al-Manar television channel, showing drone footage of Israeli barges at the gas field and their coordinates. The video ends with footage of a rocket with the words “within range” in Arabic and Hebrew. The text on the video message opens with “Playing with time is useless,” also in both languages.

Israel and Lebanon, which do not have diplomatic relations, are in a years-long dispute over the demarcation of their territorial waters in the Mediterranean.

The dispute escalated this summer after UK’s Energean, which has been awarded the right to drill at the offshore Karish field, arrived on the site with a rig, prompting an immediate reaction from Beirut. The Lebanese president and the caretaker prime minister of the country accused Israel of violating Lebanon’s sovereignty.

Karish is the focus of the rift. According to Israel, Karish lies in its territorial waters. According to Lebanon, it falls within a triangle of contested waters because the two cannot agree where exactly the border passes.

Israel has already warned early on that any damage to the drilling rig in Karish—like attacks on any gas drilling rigs in its waters—will be construed as an attack on the state, implying there would be an immediate reaction.

…click on the above link to read the rest of the article…

Entirety Of Lebanon Goes Dark, Mass Power Outage To Last Several Days

Entirety Of Lebanon Goes Dark, Mass Power Outage To Last Several Days

On Saturday the entirety of Lebanon was plunged into darkness, with the electricity grid shut down completely after the small Mediterranean country’s two main power stations reportedly ran out of fuel.  “The al Zahrani and the Deir Ammar power stations stopped working after supplies of diesel were apparently exhausted, and energy production dropped to below 200 megawatts,” Sky News reports.

A Lebanese official has confirmed to Reuters that the blackout is expected to last multiple days. “The Lebanese power network completely stopped working at noon today, and it is unlikely that it will work until next Monday, or for several days,” the official said.

Via BBC correspondent/Twitter

Over the past months major Lebanese cities and towns have experienced periodic blackouts, but this looks to be the worst and most far-reaching and long lasting – increasing the misery of a Lebanese population still in the midst of an economic crisis, persistent fuel shortage, and which has seen the local currency plunge by 90% since 2019.

Much of the past year in Lebanon has witnessed scenes of sometimes miles-long lines at gas stations, with fights and disputes over supplies becoming almost routine. Residents and business owners have tried to endure via generators and hoarding personal fuel supplies insofar is possible for those who can afford it.

Some Lebanese interviewed by Middle East Eye told the publication that moving about an entirely darkened city at night is like “reliving the civil war” – in reference to lengthy war and collapse of infrastructure that gripped the country from 1975 to 1990.

…click on the above link to read the rest of the article…

Nationwide Blackout Hits Syria After Gas Pipeline Bombed

Nationwide Blackout Hits Syria After Gas Pipeline Bombed

A blackout has reportedly plunged all of Syria into darkness Friday into Saturday, with Syria’s state-run SANA announcing the nationwide power outage is due to an attack on a gas site and pipeline in southern Damascus.

Into the overnight hours, electricity reportedly returned to much of the capital of Damascus, while the Minister of Electricity Ghassan al-Zamil vowed to restore the rest of the country’s power in a matter of “hours” as technicians are on the scene.

Illustrative image: gas pipeline bombing from earlier in the war, Reuters file.

It was part of Hezbollah’s promise to get Iranian fuel into Lebanon amid the country’s energy crisis, which has seen its own severe blackouts hit major cities and towns over much of the past month.

There’s also the possibility of an attack on Syria’s infrastructure by remnant anti-Assad insurgent groups, also as there’s again in recent weeks been renewed fierce fighting centered on the southern Syria city of Deraa.

According to a popular Syria blogger and commentator, “Sources in southern Damascus reported hearing an explosion seconds before the blackout. All of this happened as the second batch of tankers carrying Iranian fuel was crossing into Lebanon.”

Speculating on the question of a possible external sabotage operation that caused the blackout, given the deeply suspicious timing, geopolitical commentator and Syria watcher Aaron Maté said, “Just as it helps Hezbollah bring desperately needed fuel into Lebanon, Syria suffers a sabotage attack that leads to complete blackout.”

“This is on top of the regular power shortages caused primarily by US sanctions & the 10-year dirty war,” Maté added.

Beirut Goes Dark As Economic Tailspin Sees Dire Fuel & Electricity Shortages 

Beirut Goes Dark As Economic Tailspin Sees Dire Fuel & Electricity Shortages 

Starting Wednesday night Lebanon’s Central Bank announced that fuel subsidies have been halted, already at a moment where there’s been scarcity of both gas and electricity. Fuel prices are expected to at least quadruple, leading to a national scramble for fuel, exacerbating rolling blackouts akin to what’s become the tragic “norm” of recent years in neighboring war-torn Syrian.

International reports are underscoring that the enduring economic crisis beginning in 2019 which sparked a year of mass protests and a currency crisis, and subsequent failed attempts to stave off total collapse amid a drastic “shock” change in government, are now coming to a head, sending already impoverished areas of the country of nearly seven million spiraling into steadily worsened conditions.

Regional director of humanitarian aid NGO Crisis Group, Heiko Wimmen, was cited in CNN as saying “This is obviously going to ripple through the whole economy.” He emphasized that seemingly overnight basic staples that support daily life have now become a “luxury”.

“For a large part of the population, electricity will become a luxury. Driving your car will become a luxury, too. Transportation will become a luxury,” Wimmen added.

The cutting of subsidies was expected, but still a “shock” nonetheless. Like everything else in Lebanon energy has been severely mismanaged, after already the government suspended lines of credit to fuel importers.

AFP

So the sudden liberalization of fuel prices meant whole villages, towns, and parts of cities were plunged into darkness overnight as not even generators could keep the lights on:

…click on the above link to read the rest of the article…

War Drums Beat in Middle East After Thousands of Casualties in Beirut Explosion

WAR DRUMS BEAT IN MIDDLE EAST AFTER THOUSANDS OF CASUALTIES IN BEIRUT EXPLOSION

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On the evening of August 4th, a massive explosion rocked the port of the Lebanese capital of Beirut, causing devastating damage and leaving thousands of casualties. The explosion sent a shockwave across the city and blew out windows up to 10 kilometers away. It was felt as far away as Cyprus in the Mediterranean Sea.

As of the morning of August 5th, the number of reported fatalities exceeded 100, with at least 4,000 people reported  injured. At least 48 staff members of the United Nations and 27 members of their families were among the injured. 10 rescuers involved in the operation to contain the damage and to help people have been reported killed.

Initial reports suggested that the explosion may have been caused by an incident in the firework storage area. However, later, Lebanon’s Prime Minister Hassan Diab said that 2,750 metric tons of ammonium nitrate, which is typically used as an agricultural fertilizer, had been stored for six years at a port warehouse without proper safety measures, “endangering the safety of citizens.”

This statement was backed by General Security chief Abbas Ibrahim, who said a “highly explosive material” had been confiscated years earlier and stored in the warehouse, just minutes’ walk from Beirut’s shopping and nightlife districts.

It is still unclear what caused the explosion itself thus laying the ground for various speculations in mainstream media outlets and on social media platforms. In particular, reports suggested that a number of Hezbollah members were in the port area at the moment of the explosion. This immediately caused reports that this may have been a result of some Israeli attack, for example sabotage actions or a somehow unnoticed missile strike, and that the site of the explosion was in fact a part of the Hezbollah military infrastructure.

…click on the above link to read the rest of the article…

Lebanon Announces Default On $1.2BN Debt Payment In Historical First

Lebanon Announces Default On $1.2BN Debt Payment In Historical First

Lebanon announced Saturday it will default on its Eurobond debt for the first time in its history. The protest-racked country has seen a recent change in government, banks opened for merely about half of the past few months, strict controls on hard currency withdrawals and transfers abroad amid a liquidity crisis, a plummeting Lebanese Lira since October, a run on dollars, and crushing public debt which has lately blown up to nearly 170% of its gross domestic product (now about $89.5 billion).

Prime Minister Hassan Diab confirmed in public statements the bond payment of $1.2 billion due on Monday will not be paid: “The debt has become bigger than Lebanon can bear, and bigger than the ability of the Lebanese to meet interest payments,” he said in a televised address. “We are paying the price for the mistakes of the past years. Must we bequeath them to our children?”

Lebanese Government photo of Prime Minister Hassan Diab during his Saturday address, via AP.

The broader crisis is being widely described as the worst and most potentially destabilizing disaster since the 1975-90 civil war. It also means that the country’s bond which mature on Monday and which last traded at a price of 57 cents on the dollar (or roughly 8000% YTM) won’t be repaid.

Local banks, which own some of the Eurobonds set to mature on March 9, have long argued against a default. But clients also fear the continued rapid depletion of their savings. Diab, appearing to respond not only to the people in the streets but to criticisms from the West centered on the Mediterranean nation’s decades of state corruption, pledged to continue negotiations to restructure the country’s debt “with all creditors… in a manner consistent with the national interest.”

…click on the above link to read the rest of the article…

Olduvai IV: Courage
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Olduvai II: Exodus
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