Lebanese Pound Drops Ahead Of Sanctions Expected On Bassil

AP | Hasan Shaaban

On Friday, exchange rate fluctuations continued with the Lebanese pound falling further against the dollar for the second day in a row.

The Lebanese pound was trading at around 7,250 LBP/USD on the black market, where dealers were selling the dollar for a high of 7,300 LBP and buying it for 7,200 LBP. 

The drop comes after a slight midweek rise when Lebanon saw a sliver of hope that the formation was back on track. Before that, the lira had hit the lowest rate since PM-designate Saad Hariri’s nomination.

Not only is the government formation on pause as the world awaits the results of the US presidential elections, but now there are expectations that the US will impose sanctions any time now on Free Patriotic Movement leader and former minister Gebran Bassil.

If the Trump administration follows through with the sanctions scheduled today, it will undoubtedly pose challenges at forming a new cabinet in Lebanon.