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Iranian fuel export to Lebanon

Petroleum shipment

  • 3 min read
  • 3 chapters

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Background

In August 2019, due to various financial problems, the black market exchange rate began to change from the official exchange rate. The USD black market exchange rate remains to fluctuate substantially due to the devaluation of the Lebanese pound caused by sharp USD shortages within Lebanon. The Lebanese pound has lost about 90% of its value. The Guardian reported: the resulting hyperinflation, made by adverse trading situations during the COVID-19 pandemic, grossly irresponsible financial mismanagement of Lebanon's politicians and bankers, has caused subsidies of essential foodstuffs, medicine, and fuel to no longer cover their true cost. Fuel shortages have made extensive electricity cuts and led to long lines at filling stations. The World Bank has declared one of the world's worst economic crises since the mid-1800s.

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