The black market dollar exchange rate witnesses on Wednesday evening huge jump, registering 21,550 Lebanese pounds for purchase and 21,500 LBP for sale per dollar, after closing between 20,825 and 20,875 Lebanese pounds yesterday evening, Sunday.

Following the announcement of the new cabinet birth after 13 months of political vacuum in the nation, the Lebanese pound lost significant value versus the dollar.

The Lebanese pound has been rapidly declining against the dollar since 2019, coinciding with a major liquidity crisis and banks refusing to provide depositors with money in dollars, despite the fact that the official exchange rate remains fixed at 1,507 pounds.

Over the last two years, the Lebanese pound has lost around 90% of its value, driving three-quarters of the people into poverty.

Economists warned of the impact of Lebanon’s problem with the Gulf nations on the Lebanese economic reality, pointing out that the production sectors that were an input for the dollar would be harmed, in addition to the closure of Saudi institutions in Lebanon.