Economic crisis in Lebanon is becoming more and more dramatic

The severe economic and financial crisis in Lebanon continues to intensify. The Lebanese lira hit a new all-time low on the black market, local media reported. A US dollar therefore cost more than 17,000 lira for the first time. The Lebanese currency has thus lost more than 90 percent of its value since the crisis broke out almost two years ago. The collapse of the lira goes hand in hand with a supply crisis, as the Mediterranean country is heavily dependent on imports. Due to a lack of fuel, long queues form in front of gas stations every day, where exasperated drivers have to wait for hours. The newspaper "Al-Joumhouria" published a video showing two angry men fighting at a gas station. The caretaker government cut fuel subsidies on Friday. The economic and financial crisis in Lebanon broke out in October 2019. It was exacerbated by the corona pandemic and the catastrophic explosion in the port of Beirut at the beginning of August. The country is one of the world's most heavily indebted countries. Inflation is more than 100 percent, for food even more than 200 percent. More than 60 percent of the population lives in poverty. At the same time, Lebanon does not have a government capable of acting, as the main political forces have not been able to agree on a new cabinet for months. The country's leadership faces massive allegations of corruption. Critics accuse her of having driven Lebanon into debt with a kind of pyramid scheme. Western states and the International Monetary Fund (IMF) only want to help if the government decides on reforms.