2 (Petra) -- Lebanese Prime Minister Saad Harairi Monday said that the Lebanese Council of Ministers had approved the announcement of a "state of economic emergency," while continuing with the exchange rate policy of the Lebanese pound
. Following a meeting headed by President of Lebanon Michel Aoun, Harairi told journalists that "An agreement was reached to abide by the 2019 budget and not incur additional burdens, and to reduce the public debt as part of transparent bids that would guarantee the rights of the state." //Petra// AK 02/09/2019 22:14:16
This increase ensures the solvency of Lebanon and strengthens the stability of the Lebanese Pound
and reduces the Balance of Payments deficit.
Governor Riad Salameh said that the Lebanese state budget would ensure stability in the Lebanese pound
and financial market.
Summary: According to a recent note by the IIF, the confidence in the Lebanese pound
would remain strong and the peg to the dollar would be maintained supported by ample international reserves, a strong banking system, and loyal depositors from Lebanese diaspora.
De facto, the Lebanese pound
rate of conversion to the US dollar remains within a very narrow band.
The country's banks have managed to weather the global financial crisis and the negative impact of the regional turmoil thanks to prudent policies to keep the Lebanese pound
Salameh reiterated that the Lebanese pound
exchange rate against the U.S.
The government would begin auctioning 5-year Lebanese pound
treasury bonds this month, he added.
NNA - Governor of Lebanon's central bank, Riyad Salameh, on Monday assured that the Lebanese pound
was stable, hailing the reforms included in the 2019 state budget.
According to Reuters, the apex bank head, governor Riad Salameh, said that the Lebanese pound
would remain stable.
This is a reflection of confidence in the banking sector and the Lebanese pound
," he said.
"The Lebanese pound
is still the currency of saving and there are a lot of people who have shifted their holdings into Lebanese pounds
, who are quite happy and comfortable."