Cash-Strapped Lebanon's Crisis Worsen As Fuel Subsidies Ends

Published August 15th, 2021 - 01:00 GMT
Cash-Strapped Lebanon's Crisis Worsen As Fuel Subsidies Ends
Protesters, wearing masks of Lebanon’s Central Bank governor Riad Salameh, demonstrate amid the country’s worst economic crisis in decades. (Shutterstock)
Highlights
The paralytic shortages of fuel and power cuts have forced many shops and businesses to shut down in Lebanon.

In a recent interview, Lebanon’s central bank governor Riad Salameh announced the end of fuel subsidies that have drained the country's 'currency reserves' amid an inevitable financial meltdown, he argues.

Soon after the announcement, the Lebanese army started raids on gas stations to seized all petrol left as fuel ran dry in the country. The paralytic shortages of fuel and power cuts have forced many shops and businesses to shut down in Lebanon.

This move by Salameh started a brawl between him and the government who accused him of ''acting alone'' without a parliamentary vote, while he voiced his reply on Radio Free Lebanon saying that they knew of his announcement and ''So far you have nobody running the country''.

Another clash involving Salameh has erupted as fuel importers in Lebanon have pointed fingers at the Central Bank accusing Salameh of delaying of the opening credit lines to fund petrol imports. In his turn, Salameh refuted those accusations saying 'that importers and distributors of holding back fuel to sell it at higher prices in the black market, or across the border in Syria', France24 reported.


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