CRISIS DEEPENS IN LEBANON AFTER PETROL STATION STRIKE

World

Sat 30 November 2019:

Angry motorists blocked roads with their vehicles in Beirut and other parts of Lebanon on Friday, creating traffic jams to protest against a strike by owners of petrol stations demanding an increase in gasoline prices as the local currency drops and the nation slides deeper into a financial crisis.

The road closures around Lebanon came as President Michel Aoun headed a meeting of the country’s top economic officials to discuss the rapidly deteriorating economic and financial situation in the country.

Nationwide protests that began on October 17 over widespread corruption and mismanagement have worsened Lebanon’s most serious economic and financial crises since the 1975-90 civil war ended, as did the resignation of the government late last month.


Although Prime Minister Saad Hariri resigned his government on October 29, Aoun has not yet set a date for binding consultations with heads of parliamentary blocs to name a new prime minister.

The protests were initially sparked by new taxes but quickly evolved into calls for the entire political elite to step aside.

Friday’s meeting was attended by the ministers of economy and finance, the central bank’s chief, the head of the banking association as well as the economic adviser of the outgoing prime minister.

Lebanon is one of the world’s most highly indebted countries, and the country’s banking sector has imposed unprecedented capital control amid a widespread shortage of dollars.

People have not been allowed in recent weeks to withdraw as much as they want from their bank accounts.

The price of the dollar has dropped 40 percent on the black market after it was stable at 1,507 pounds to the dollar since 1997.

Petrol stations began an open-ended strike on Thursday, with owners demanding that they be allowed to increase prices, saying they are losing money because of the shortage of dollars in the market.

In Beirut and several areas across the country, motorists parked their cars in the middle of roads, saying they had run out of petrol. In other areas angry protesters blocked roads to express their anger against the closure of the petrol stations.

Politicians, meanwhile, have failed to agree on the shape and form of a new government.

Hariri had insisted on heading a government of technocrats, while his opponents, including Hezbollah, want a cabinet made up of both experts and politicians.

Protesters attacked 

On Sunday (24 November), backers of Hezbollah and Amal attacked demonstrators at a flyover near the capital’s main protest camp.

Brandishing party flags, they hurled stones at peaceful demonstrators and taunted them as riot police deployed to contain the violence.

The attackers also ravaged a nearby encampment, tearing down tents and damaging storefronts in their most serious assault on protesters so far.

At least 10 demonstrators were injured, civil defence said.

Protesters remained defiant on Monday after supporters of main Shia groups Hezbollah and Amal attacked demonstrators overnight, sparking a UN call to keep protests peaceful.

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