{"id":64924,"date":"2023-02-01T06:54:43","date_gmt":"2023-02-01T11:54:43","guid":{"rendered":"https:\/\/olduvai.ca\/?p=64924"},"modified":"2023-02-01T06:54:43","modified_gmt":"2023-02-01T11:54:43","slug":"hyperinflationary-hell-lebanese-central-bank-devalues-lira-by-90","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=64924","title":{"rendered":"Hyperinflationary Hell: Lebanese Central Bank Devalues ‘Lira’ By 90%"},"content":{"rendered":"
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Hyperinflationary Hell: Lebanese Central Bank Devalues ‘Lira’ By 90%<\/a><\/h3>\n<\/header>\n
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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.<\/p>\n

In August 2020,<\/strong>\u00a0the city of Beiruit was practically destroyed by a\u00a0massive blast which killed at least 200 people and triggered as much as $15 billion in damage<\/strong>…<\/p>\n

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In March 2021, violent protests erupted\u00a0<\/strong><\/a>across Lebanon as the currency collapse accelerated and with it the economy and people’s living standards.<\/p>\n

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And most recently, In December 2022,<\/a>\u00a0the\u00a0Lebanese parliament failed for the eighth consecutive time to elect a new president<\/strong>, as a majority of lawmakers opposed the options laid on the table.<\/p>\n

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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.<\/p>\n

All of which has sent the ‘parallel’ FX rate to a stunning 60,000\/USD<\/strong>\u00a0(compared to the official Pound – often nicknamed ‘Lira’ – rate of 1500\/USD)…<\/p>\n

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Source: LiraRate.org<\/em><\/a><\/p>\n

As Reuters reports,<\/a>\u00a0Zombie banks have frozen depositors out of tens of billions of dollars in their accounts,<\/strong>\u00a0halting basic services and even prompting some customers to hold up tellers at gunpoint to access their money.<\/p>\n

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This has prompted bank runs…<\/strong><\/a><\/p>\n

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.<\/em><\/p>\n

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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.<\/em><\/strong><\/p><\/blockquote>\n

and\u00a0heists…<\/a><\/strong><\/p>\n

The National\u00a0<\/a>has recorded 27 depositor bank \u201cheists\u201d since the start of the year, including armed and unarmed hold-ups and sit-ins.<\/strong><\/p><\/blockquote>\n

\u2026click on the above link to read the rest\u2026<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

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 […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[2086,63,122,951,413,418,434,3042,536,13351,683,4318,8815],"class_list":["post-64924","post","type-post","status-publish","format-standard","hentry","category-economics","tag-bank-run","tag-banks","tag-central-bank","tag-currency","tag-hyperinflation","tag-imf","tag-international-monetary-fund","tag-lebanon","tag-money","tag-price-inflation","tag-reuters","tag-zerohedge","tag-zombie-banks"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/64924","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=64924"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/64924\/revisions"}],"predecessor-version":[{"id":64925,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/64924\/revisions\/64925"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=64924"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=64924"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=64924"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}