Lebanese banks reopen as Dollar soars to record highs amid economic crisis

According to sources, the primary reason for the significant increase in the dollar's value is that the Lebanese Central Bank has had to withdraw dollars from the market to secure public sector salaries, which amount to around 80 million dollars per month, in addition to other government expenses such as wheat, medicine, and more.

Sources revealed that there is a "financial agreement" between the governor of the Central Bank, the Prime Minister, and the International Monetary Fund not to touch the remaining 10 billion dollars of reserves. This is the amount needed to implement the government's plan to repay depositors 100,000 dollars of their deposits.

Another reason contributing to the rise of the dollar is the political tensions in the country. Lawsuits against the governor of the Central Bank, investigations into several banks, and the approaching end of his tenure are among the factors causing political instability.

The fundamental reason for the rise in the dollar's value in the market is the high and continuous budget deficit of the state. As long as there are no reforms, this deficit will continue to be financed through the printing of Lebanese pounds, which means that the dollar's value will continue to increase.

Lebanese citizens are now struggling to cope with the skyrocketing prices and inflation caused by the depreciation of their currency. The situation is dire and requires immediate action from the government and the Central Bank to prevent a complete economic collapse.