The Acting Governor of the Central Bank of Lebanon, Wassim Mansouri, announced that public sector salaries will be paid this month in dollars at an exchange rate of 85,500. He pointed out that there was an agreement to ensure the needs of military institutions without touching the reserves.
In a press conference, Mansouri confirmed that "the reserves will not be touched at all, and despite our intervention in the market, the cash supply has decreased and there is an agreement that monetary stability is a priority." He stated that "the monetary stability that the central bank provides is linked to economic and security conditions, and the bank cannot maintain this stability without cooperation with the Parliament and the government."
Mansouri emphasized, "The financial stability of the state will not be achieved without the approval of necessary reforms," and added, "After four years of the financial crisis, no legislation has been enacted to help Lebanon overcome its predicament."
Regarding the "Alvarez & Marsal" report, he noted that "the central bank will complete all the auditing procedures that have started and will continue to provide the company and the judiciary with all the required documents."
As for the fate of deposits, he said: "I do not have a clear, explicit, and specific answer regarding the fate of deposits for the Lebanese."
Mansouri appealed to political forces and parliamentary blocs to keep monetary authority and its needs out of any political disputes, stating: "We are ready to put all the capabilities of the 'Central Bank' to accomplish the required laws in consecutive parliamentary sessions."
He warned that a state of stagnation would lead to the growth of a cash economy, which would negatively impact the economy and contribute to Lebanon's international isolation. For the full text of the press conference, please click (here).
