Lebanon: An economic crisis and the aftermath of the Beirut port explosion

YouTube ^ | August 4, 2022 | DW Documentary

[SunkenCiv]

Lebanon is now going through the worst economic crisis in its history. 80 per cent of the population lives below the poverty line. In one year, food prices have jumped 500 per cent due to galloping inflation.

Lebanon was long regarded as the Switzerland of the Middle East. But those days are gone. A series of crises have plunged the nation into the abyss. And its people are suffering.

For Riad, who runs a grocery store in the suburbs of Beirut, business has become hellish. Every morning, calculator in hand, he changes the labels of his products according to the day’s exchange rate. An operation made all the more complex by the fact that his store is plunged into darkness, due to a lack of electricity. The Lebanese government no longer provides more than two hours of electricity per day in the country. It is impossible for the population to heat, light or use their refrigerators. Taking advantage of the situation, a network of private generators has emerged.

The Lebanese pound, the local currency, has lost 90 per cent of its value. The only people unaffected are those paid in dollars. The greenback, which can be exchanged for a small fortune against the local currency, has created a new privileged social class in the country. A salesman in an international pharmaceutical company, Joseph lives like a king in a ruined Lebanon. Thanks to his new purchasing power, he repaid his mortgage in two months, instead of... twenty years!

In a bankrupt state, plagued by corruption, six out of ten Lebanese now dream of leaving the country. In Tripoli, in northern Lebanon, Mohammed and his son set out for Germany by sea. Even though the trip was cut short off the Turkish coast, the young father is still ready to take all possible risks to reach the European Eldorado.

Lebanon: An economic crisis and the aftermath of the Beirut port explosion | August 4, 2022 | DW Documentary

[SunkenCiv]

Hezbollah's governing bloc suffered losses in this weekend's parliamentary elections in Lebanon, with preliminary results showing some vocal opponents picking up more seats and several traditional partners routed out of the legislature.

Lebanon voters weaken Hezbollah's governing bloc | DW News | May 17, 2022 | DW News

[SunkenCiv]

...

[pepsionice]

Its amazing to look at Beirut of the 1970s, and how far it’s fallen in fifty years. But then, a lot of the money which was sitting there....went off to Qatar, Dubai and Bahrain. I would almost call Beirut the ‘Baltimore’ of the Middle East now.

[Paul R.]

Once Hezbollah became a significant force in Lebanon, and particularly a significant force in the gov’t, the country’s fate was essentially sealed. I’m surprised it took this long for a pervasive collapse to occur.

[texas booster]

The Lebanese government no longer provides more than two hours of electricity per day in the country. It is impossible for the population to heat, light or use their refrigerators. Taking advantage of the situation, a network of private generators has emerged.

We call having electricity for only part of the day a "rolling blackout". In most other non-Western countries it is the norm, but only two hours daily ...

Having said that, interesting that capitalism is starting to emerge in Lebanon again.

In the mullah ruled countries there is a huge underground economy - capitalism from the ground up, or a rebellion against the mullahs, per the rulers.

Perhaps Lebanon can once again taste freedom.

[sauropod]

Bkmk

[SJackson]

Middle East and terrorism, occasional political and Jewish issues Ping List. High Volume If you’d like to be on or off, please FR mail me.

[kearnyirish2]

Lebanon was destroyed when most of the Christians fled during/after the civil war; then it just became another primitive Muslim sandbox. When the 50/50 balance was upended, it was all over.

[pepsionice]

You can add the development of drug cartels now in Europe which lead back to Beirut. As that developed in the 1990s, it became a much different place than what it existed in the 1960s.

Wouldn’t shock me in twenty years if it broke up into five different mini-kingdoms with the Muslim radicals, the drug cartels, and other groups each owning their own neighborhood.

[kearnyirish2]

The concern until Syrian troops withdrew was that it would just become a de facto part of Syria itself.

I recall when the French military evacuated many of the Christians as the civil war wound down; another post-colonial failed state.

[pepsionice]

If all that chaos in Syria hadn’t occurred...it would make sense today to just step in and take charge. Assad could take the place in 24 hours. Economically though...he’d get stuck with a worthless urbanized region, with the vast majority of people surviving at the poverty level.

[kearnyirish2]

They share a lot of history/culture; I think the Syrian troops did stabilize it a bit, but you’re right - it would be a burden for them.