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Currency board: One of the suggested solutions for Lebanon’s crisis

News Bulletin Reports

03-05-2021 | 13:45

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Currency board: One of the suggested solutions for Lebanon’s crisis

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One of the many advantages of establishing a Currency Board in Lebanon includes freezing the printing of the Lebanese currency, lowering inflation rates, and restoring confidence in the financial and monetary sector, in addition to the low interest rates.

The currency board has also many negative sides such as the lack of monetary independence because the focus of the monetary policies will be on maintaining the coverage of money supply with reserves at the expense of other domestic considerations such as subsidies.

To watch the full report, please click on the video above.

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