LBCI

Exploring Zero Coupon Bonds in Lebanon's Financial Crisis

News Bulletin Reports

2024-02-18 | 10:09

Share

Share

Exploring Zero Coupon Bonds in Lebanon's Financial Crisis

2^min

Let's say you have $150,000 stuck in the bank.

In the previous segment, we saw how the new government plan aims to refund you a maximum of $100,000 in installments, financed by both banks and the Central Bank of Lebanon. But what about the remaining $50,000?

One of the proposed solutions is zero coupon bonds

.
So, what's the deal with them?

The plan suggests that the Central Bank of Lebanon and the banks will purchase bonds from foreign countries or international banks, worth the remaining $50,000, for a long period, up to 30 years, but at your own risk.

These bonds are zero coupon bonds, meaning they won't pay you anything throughout the 30 years. Therefore, their current price is relatively cheap. When the term ends, you'll receive the full value of the $50,000.

In other words, if you're 50 years old or older, you'll have to live until you're 80 or older to get your money back... or pass it on to your children!

The problem is, which external entity will engage in such a project with Lebanon given the current situation, and guarantee these $50,000? And who knows what their value will be worth after all these years?

Many questions arise about this plan...

Once again, the state is avoiding its responsibilities, leaving us in a crisis that the people are paying its price, as always.

News Bulletin Reports

Lebanon

BDL

Central Bank

Crisis

Zero Coupon Bond

Next

Hezbollah drones, rocket strikes spark widespread panic: Sirens blare as Israeli towns enter maximum emergency

The Iranian Response: Awaiting Retaliation Amidst Escalating Tensions

Previous

Recommended For You

Israel-Gaza deal: What’s next after Netanyahu's cabinet meeting – The details

News Bulletin Reports

13:24

Israel-Gaza deal: What’s next after Netanyahu's cabinet meeting – The details

Baabda Palace sees busy day as Lebanon's political consultations proceed

News Bulletin Reports

13:01

Baabda Palace sees busy day as Lebanon's political consultations proceed

Nabih Berri calls for unity: 'Lebanon needs to move forward' despite Hezbollah-Amal Movement boycott — here’s what he told LBCI

News Bulletin Reports

12:52

Nabih Berri calls for unity: 'Lebanon needs to move forward' despite Hezbollah-Amal Movement boycott — here’s what he told LBCI

Lebanon's ceasefire and the fate of Palestinian arms: Can Lebanon reclaim control over armed camps?

News Bulletin Reports

2025-01-14

Lebanon's ceasefire and the fate of Palestinian arms: Can Lebanon reclaim control over armed camps?

Subscribe to our VOD

SUBSCRIBE

Our visitors readings

Gaza ceasefire and hostage deal reached: Axios correspondent confirms

Israel-Gaza War Updates

11:47

Gaza ceasefire and hostage deal reached: Axios correspondent confirms

Change MPs Firas Hamdan, Ibrahim Mneimneh, and Yassin Yassin endorse Joseph Aoun for presidency

2025-01-08

Change MPs Firas Hamdan, Ibrahim Mneimneh, and Yassin Yassin endorse Joseph Aoun for presidency

Jihadists, allies seize over 50 towns and villages from Syria government

Middle East News

2024-11-29

Jihadists, allies seize over 50 towns and villages from Syria government

Avichay Adraee says Israeli artillery supports ground forces to cross into Lebanese territory

2024-11-17

Avichay Adraee says Israeli artillery supports ground forces to cross into Lebanese territory

Videos

Lebanon's First Lady Neemat Aoun addresses the press, affirms commitment to rebuild South Lebanon (Video)

2025-01-14

Lebanon's First Lady Neemat Aoun addresses the press, affirms commitment to rebuild South Lebanon (Video)

LBCI captures scenes of destruction in southern Lebanese town of Chamaa following Israeli attacks

2025-01-13

LBCI captures scenes of destruction in southern Lebanese town of Chamaa following Israeli attacks

Presidential images of Army Commander Joseph Aoun printed (Video)

2025-01-08

Presidential images of Army Commander Joseph Aoun printed (Video)

LBCI documents scenes of destruction in Naqoura and Aalma in South Lebanon

2025-01-08

LBCI documents scenes of destruction in Naqoura and Aalma in South Lebanon

Tom Fletcher affirms commitment to Lebanon's future, vows to help lead it into a new phase - Watch the full interview with LBCI

2024-12-24

Tom Fletcher affirms commitment to Lebanon's future, vows to help lead it into a new phase - Watch the full interview with LBCI

Car runs over security officer in Beirut, Lebanon (Video)

2024-12-21

Car runs over security officer in Beirut, Lebanon (Video)

A delegation of Druze religious leaders from Lebanon visits Jabal al-Arab, Syria (Video)

2024-12-20

A delegation of Druze religious leaders from Lebanon visits Jabal al-Arab, Syria (Video)

Inside Tartus Port: Russia's strategic naval presence in the Middle East

News Bulletin Reports

2024-12-16

Inside Tartus Port: Russia's strategic naval presence in the Middle East

Destruction and aftermath: Syrian coast sees largest Israeli attack in over a decade

News Bulletin Reports

2024-12-16

Destruction and aftermath: Syrian coast sees largest Israeli attack in over a decade

Most read

24 hours

7 days

Month

Nabih Berri calls for unity: 'Lebanon needs to move forward' despite Hezbollah-Amal Movement boycott — here’s what he told LBCI

1

Nabih Berri calls for unity: 'Lebanon needs to move forward' despite Hezbollah-Amal Movement boycott — here’s what he told LBCI

Turkish Airlines states to resume flights to Damascus on Jan 23

2

Turkish Airlines states to resume flights to Damascus on Jan 23

Israeli forces advance into Bint Jbeil, block key road linking Aitaroun and Aainata, south Lebanon

3

Israeli forces advance into Bint Jbeil, block key road linking Aitaroun and Aainata, south Lebanon

Lebanon's political blocs advocate for government built on solid foundations as consultations continue

4

Lebanon's political blocs advocate for government built on solid foundations as consultations continue

MP Ali Hassan Khalil visits Parliament amid consultations without meeting PM-designate Nawaf Salam

5

MP Ali Hassan Khalil visits Parliament amid consultations without meeting PM-designate Nawaf Salam

Speaker Berri tells LBCI: "Lebanon must move forward" amid consultations boycott

6

Speaker Berri tells LBCI: "Lebanon must move forward" amid consultations boycott

MP Adib Abdel Massih joins Kataeb Party bloc ahead of consultations: LBCI

7

MP Adib Abdel Massih joins Kataeb Party bloc ahead of consultations: LBCI

First round of non-binding parliamentary consultations concludes, second round to resume in the afternoon

8

First round of non-binding parliamentary consultations concludes, second round to resume in the afternoon

Download now the LBCI mobile app

To see the latest news, the latest daily programs in Lebanon and the world

Google Play

App Store

Download now the LBCI mobile app

We use
cookies

We use cookies to make
your experience on this
website better.

Accept

Learn More