Lebanon’s president wants investigation into currency crash

Lebanon’s president wants investigation into currency crash

BEIRUT: Lebanon's president ordered the central bank governor on Wednesday to open an investigation into currency speculation, after the Lebanese pound plunged to record lows on the black market this week, leading to protests in the stricken country. The request by President Michel Aoun came after the country's banks were required to raise their capital holdings by Feb. 28, and local media reported that some had to scramble to get hard currency from the black market, sending demand for it “” and its prices “” surging. While officially, the US dollar costs only 1, 520 Lebanese pounds, the black market price was around 9, 900 pounds on Wednesday “” a day after briefly hitting a record high of 10, 000. Just a few months earlier dollars could be bought at a rate of some 7, 000 pounds. In a statement released by his office after meeeting central bank governor Riad Salameh, Aoun said if it turns out that the crash was because of speculators, they should face justice. Enraged protesters, angry over the higher costs of dollar denominated goods, have blocked roads and highways with burning tires across the country. Lebanon's banking association denied it was responsible for the situation,