Why Lebanese Banks Are Suddenly Closing Down Again?
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Roshan Amiri
- . October 8, 2022
- . Update: October 9, 2022 2:38 am
In desperation, Lebanese are randomly attacking banks facilities and storming into various ones to get access to their funds. Banks have now decided to close themselves down in the hope to handle these acts of hooliganism.
Last month too, banks were said to have closed their doors as angry depositors went violent inside bank premises. This was reported in atleast seven branches together. Many were reopened this week with beefed up security, only to be closed again over the weekend till further notice.
Apparently, bank employees were physically handled and harried and angry depositors lashed out verbally on them as well. On Wednesday, even a member of the parliament made news as she demanded peacefully for funds to be released from her account for an urgent surgery she had to undergo.
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A strike has been underway over the bank rows. The strike last month was initially been planned for only three days, but was extended to a week due to an “absence of any procedures or even assurances” from the government and security forces that would ensure a safe working environment.
Banks imposed informal capital controls in 2019, severely restricting access to hard currency and compounding the economic difficulties faced by people in Lebanon.
The situation has led some depositors to take matters into their own hands — and many Lebanese have praised their actions. Lebanon has been engulfed by an economic crisis since 2019, which has been described by the World Bank as one of the worst in modern history.
Much of the country has been plunged into poverty and the local currency has plummeted in value by more than 95 per cent.There are severe shortages of basic essentials including bread, electricity, medicine and water.
