As Lebanon slides deeper into financial crisis, calls to mental health support centres are skyrocketing. As Imogen Kimber reports the devastating decline in living standards appears to be taking a toll on people’s well being. #lebanoneconomy #suicide #economy
PARIS — Lebanon could face its biggest crisis since its Civil War, economists are warning as the country’s currency hits new lows.
Using the prospect of a flood of refugees as a bargaining chip in international negotiations, the government is happy to subsist on foreign-exchange reserves while waiting to collect geopolitical rents. Yet there is reason to hope that this strategy, which has already impoverished half the population, will fail.
New York, July 27, 2020 — Moody’s Investors Service (“Moody’s”) has today downgraded the Government of Lebanon’s issuer rating to C from Ca, and has not assigned an outlook to the rating. Moody’s also downgraded Lebanon’s senior unsecured Medium Term Note (MTN) Program rating to (P)C from (P)Ca, and affirmed the other short-term rating at (P)NP.
There are few bright sides to life in Lebanon, where the economy is verging on complete breakdown. But while some have shown sympathy with those committing “hunger crimes,” others have taken to barter and banter to cope.
Lebanon has been plunged into darkness as record power cuts grip the country amid worsening economic conditions.
In the midst of the COVID-19 pandemic that continues to threaten many lives and bring our country to its knees, the financial and economic crisis exploded –leaving Lebanon in extreme chaos.
Despite pledging to cap the exchange rate at LL 3,200 to the dollar, the Lebanese government failed the people once again. The Lebanese Lira depreciation persists, reaching approximately LL 7,000 to the dollar on the black market last week.
The Lebanese workforce is taking the hit of the collapsing economy, as the incomes of employees are losing value along with the currency depreciation.