[ad_1]
Hassan Diab warns against lifting the subsidy for basic supplies in Lebanon (Hussein Baydoun)
The head of the interim government, Hassan Diab, harshly criticized the intention of the Central Bank of Lebanon to withdraw support for essential materials and commodities in the life of the Lebanese citizen, warning in a speech on Friday night that “if it happens this step, its consequences will be disastrous, and the Bank of Lebanon assumes its responsibility. All those who support or cover a decision like this. “
Diab said: “The BDL’s tendency to lift subsidies is unacceptable at the moment, as life and social pressures are severe on the Lebanese, and their purchasing power has been drastically eroded as a result of the monetary collapse resulting from financial policies. previous events that depleted the capabilities of the country, impoverished the Lebanese and caused these huge financial gaps in the finances of the state and the bank. ” Lebanon and the deposits of the Lebanese “.
He added: “No one is asking us to be careful with the BDL reserves, because we were the ones who made the historic decision to stop paying the debt, and if we had paid Eurobonds this year, which amounted to almost $ 5 billion, the reserve would have decreased from $ 22.5 billion to $ 17.5 billion. ” And this rule, which the Banque du Liban is talking about today, to lift subsidies for medicines, food, flour and fuel, would have been applied since last March.
He pointed out that “what has been spent on the importation of medicines, food, flour and fuel has reached, from the beginning of this year until today, about 4 billion dollars, and by the end of this year it may reach the equivalent of the value of this year’s debt, which we refuse to pay, on top of that. ” This amount is less than the usual annual bill of around $ 7 billion. “
The head of the interim government stated that “any step by the Banque du Liban to lift the subsidies is the responsibility of all those who support or cover such a decision, because it will lead to a social explosion whose consequences will be disastrous, and therefore the resulting loss of continued support is much less than the losses that will occur. ” Regarding the subjective decision to lift the subsidy, it would be desirable that the Banque du Liban had paid attention to the financial policies that led to what the country achieved.
2/3 – From the speech of His Excellency the Prime Minister, Dr. Hassan Diab
Grand Serail – October 9, 2020#Minister council #Hassan_Diab #Lebanon #pcm pic.twitter.com/Ao2k8vMzhI– Presidency of the Council of Ministers 🇱🇧 (@grandserail) October 9, 2020
Diab added: “We say with our mouths full, not to remove subsidies for medicines, flour, food and fuel at this time. Yes, in the current financial situation of the state, a rule of rationalization of subsidies can be adopted, so that people who really need it, benefit from it, but I warn that canceling the subsidies will have disastrous consequences for people. ” The Lebanese and the country “.
The Bank of Lebanon trend to eliminate subsidies for basic materials in the life of the Lebanese citizen unleashed a massive wave of anger and great concern among the Lebanese who are going through the worst economic and living crisis in the history of the country, especially the light of the rise of the dollar again, after it stabilized for a relatively long period at 7,000 Lebanese pounds, before During the last days, it has touched the threshold of 9 thousand, which automatically and unacceptably contributed quickly to raise the prices of raw materials and food.
Lebanese markets, and supermarkets in particular, witnessed crowds of citizens who, as soon as they learned of the possibility of lifting subsidies from the Central Bank, rushed to buy food before prices rose, which already they were fictitious, and the citizen could no longer bear the increase. Likewise, the news of the possibility of increasing the support associated with the dollar crisis has caused the interruption of many products and goods, be they medicines, food, fuel, etc., and this has aggravated the problem of the return of smuggling to greater scale.
Concerned authorities and unions, in various quarters, warned that the Banque du Liban had taken the step of lifting subsidies, which would hysterically raise prices, threatening steps and cutting paths to face the decision, especially in conjunction with the great crowd expected to register on the first anniversary of the October 17 uprising. .
On the other hand, said Diab, “what is required today, as soon as possible, and after two months of the resignation of the government, is to form a hard-working government capable of facing the great challenges facing Lebanon and the Lebanese, because the country cannot wait another two months “, and asked” to reinject life into the initiative. ” Launched by French President Emmanuel Macron, and which focuses on reforms that closely coincide with the reform program that our government has launched since its formation.
He noted that “national responsibility requires that all politicians, in any position and in any party, rise to the level of anxiety that resides in the minds and hearts of the Lebanese, and feel what the eyes have in terms of mixed tears. with fear and sadness, and be aware that the Lebanese capacity to endure Pain is reeling in the face of stressful social and life diaries, and take into account the patience of the Lebanese, who is about to run out, and that the uprising October 17 was a wake-up call, while the next uprising will be a complete revolution of elements, components, performance, and accountability.
[ad_2]
