Diab: BDL Stabilized Lira in the Past, Why Not Now?

by Naharnet Newsdesk 4 years
W300

Prime Minister Hassab Diab on Thursday voiced skepticism over Central Bank Governor Riad Salameh's latest remarks about the lira exchange rate.

“I will not comment on Central Bank Governor Riad Salameh's latest remarks and floating the exchange rate is not up to the government but rather up to Banque du Liban,” Diab said after a cabinet session in which a long-awaited financial and economic rescue plan was approved.

He, however, added: “If the lira had been stabilized by BDL in the past, how is it not involved now?”

Diab noted that the plan approved by the government does not need parliament's ratification but pointed out that it will be presented to the parliamentary committees and that the government will discuss it with many sides to guarantee its proper implementation.

Asked whether the International Monetary Fund will provide Lebanon with $15 billion, the premier said the amount is being negotiated.

"The rescue plan aims to launch negotiations with bond holders and this will take six to nine months," he added.

Diab is scheduled to disclose further details about the plan in a live speech at 5:30 pm.

SourceNaharnet
Lebanon
Comments 4
Missing thatisit 4 years

Most of the dollars are quickly moving to Syria and into the hands of the Iranian militia (no more BMWs) ..can't this guy see this?

Thumb janoubi 4 years

Diab: BDL Stabilized Lira in the Past, Why Not Now?

Because The Central Bank reserves have dwindled down and it has other priorities such as making sure the country has enough dollars for essential imports such as fuel, flour, medical supplies, etc.

Additionally, the BDL does not want to pump dollar notes in the exchange markets for fear hezbollah will scoop them up and send them to Iran/Syria.

I thought an independent expert professor would have understood that.

Thumb lebnanfirst 4 years

Boo hoo, why not for me, why not for me?

You think after you came out swinging at him? Are you serious?

Missing samiam 4 years

Before, the GCC countries were putting in funds in BDL to help stabilize the currency---now this is gone. Diab can thank his kizb and syrian friends for that.