Lebanese Central Bank Rejects Proposals to Invest Gold Reserves

A visitor examines the weight of a gold bar at the Banque du Liban Currency Museum (Banque du Liban website).
A visitor examines the weight of a gold bar at the Banque du Liban Currency Museum (Banque du Liban website).
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Lebanese Central Bank Rejects Proposals to Invest Gold Reserves

A visitor examines the weight of a gold bar at the Banque du Liban Currency Museum (Banque du Liban website).
A visitor examines the weight of a gold bar at the Banque du Liban Currency Museum (Banque du Liban website).

The sharp rise in the market value of Lebanon’s gold reserves has sparked renewed debate over their potential use to support the country’s financial recovery. However, the central bank remains firm in its stance against any move to liquidate or invest the reserves, citing strict legal restrictions and the risks of mismanagement.
A senior financial official, speaking to Asharq Al-Awsat, acknowledged the significance of these discussions, particularly as the central bank’s updated figures estimate Lebanon’s gold holdings at around $28 billion. However, he emphasized that before considering any new policies, a full qualitative audit of the reserves is necessary to determine their exact value, weight, and historical origins.
Lebanon officially holds approximately 286.8 tons of gold, or 9.25 million ounces. This reserve was accumulated under the 1963 Monetary and Credit Law to back the Lebanese lira. Currently, two-thirds of the gold is stored securely at the central bank in Beirut, while the remaining third is held at Fort Knox in the United States.
Despite the growing interest in leveraging this asset, Lebanese law strictly prohibits any direct or indirect transaction involving the gold. Law No. 42 of 1986 mandates that any sale, leasing, or investment of the reserves must receive explicit approval from Parliament. Acting Central Bank Governor Dr. Wassim Mansouri has reaffirmed this restriction, stating unequivocally: “No matter what happens, I will not sign off on moving even a gram of gold.”
Mansouri also highlighted the dangers of using reserves irresponsibly. Before Lebanon’s financial collapse in late 2019, the central bank held around $33 billion in foreign currency reserves, while gold reserves were valued at $16 billion. The cash reserves were largely depleted through unsustainable subsidy programs, leaving only $8.5 billion today. “We lost one and a half times the value of our gold, and it didn’t solve anything. The idea of using gold is simply not an option,” he said.
While some policymakers argue that investing the gold could generate much-needed revenue, financial experts warn that without proper governance, such a move could lead to further mismanagement. Instead, they stress the need for deeper economic and institutional reforms.
A key priority is securing an agreement with the International Monetary Fund (IMF) to ensure financial discipline, transparency, and oversight. Any decision regarding the gold reserves would require parliamentary approval and a clear, well-justified plan. However, financial experts argue that Lebanon already possesses vast state-owned assets that, if managed properly, could help close the country’s estimated $72 billion financial gap.
These assets include coastal and riverfront properties, 850 million square meters of state-owned land, high-value real estate in Beirut and other cities, as well as key infrastructure such as electricity, water, telecommunications, ports, and transport networks. Many of these resources remain underutilized due to corruption and inefficiency.

 



UN Food Agency Says Its Food Stocks in Gaza Have Run out under Israel’s Blockade

A girl puts a pot to her head as Palestinians wait to receive food cooked by a charity kitchen, in Beit Lahia, northern Gaza Strip, April 24, 2025. (Reuters)
A girl puts a pot to her head as Palestinians wait to receive food cooked by a charity kitchen, in Beit Lahia, northern Gaza Strip, April 24, 2025. (Reuters)
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UN Food Agency Says Its Food Stocks in Gaza Have Run out under Israel’s Blockade

A girl puts a pot to her head as Palestinians wait to receive food cooked by a charity kitchen, in Beit Lahia, northern Gaza Strip, April 24, 2025. (Reuters)
A girl puts a pot to her head as Palestinians wait to receive food cooked by a charity kitchen, in Beit Lahia, northern Gaza Strip, April 24, 2025. (Reuters)

The World Food Program says its food stocks in the Gaza Strip have run out under Israel’s nearly 8-week-old blockade, ending a main source of sustenance for hundreds of thousands of Palestinians in the territory.

The WFP said in a statement that it delivered the last of its stocks to charity kitchens that it supports around Gaza. It said those kitchens are expected to run out of food in the coming days.

Some 80% of Gaza’s population of more than 2 million relies primarily on charity kitchens for food, because other sources have shut down under Israel’s blockade, according to the UN. The WFP has been supporting 47 kitchens that distribute 644,000 hot meals a day, WFP spokesperson Abeer Etefa told the Associated Press.

It was not immediately clear how many kitchens would still be operating in Gaza if those shut down. But Etefa said the WFP-backed kitchens are the major ones in Gaza.

Israel cut off entry of all food, fuel, medicine and other supplies to Gaza on March 2 and then resumed its bombardment and ground offensives two weeks later, shattering a two-month ceasefire with Hamas. It says the moves aim to pressure Hamas to release hostages it still holds. Rights groups have called the blockade a “starvation tactic” and a potential war crime.

Israel has said Gaza has enough supplies after a surge of aid entered during the ceasefire and accuses Hamas of diverting aid for its purposes. Humanitarian workers deny there is significant diversion, saying the UN strictly monitors distribution. They say the aid flow during the ceasefire was barely enough to cover the immense needs from throughout the war when only a trickle of supplies got in.

With no new goods entering Gaza, many foods have disappeared from markets, including meat, eggs, fruits, dairy products and many vegetables. Prices for what remains have risen dramatically, becoming unaffordable for much of the population. Most families rely heavily on canned goods.

Malnutrition is already surging. The UN said it identified 3,700 children suffering from acute malnutrition in March, up 80% from the month before. At the same time, because of diminishing supplies, aid groups were only able to provide nutritional supplements to some 22,000 children in March, down 70% from February. The supplements are a crucial tool for averting malnutrition.

Almost all bakeries shut down weeks ago and the WFP stopped distribution of food basics to families for lack of supplies. With stocks of most ingredients depleted, charity kitchens generally can only serve meals of pasta or rice with little added.

World Central Kitchen -- a US charity that is one of the biggest in Gaza that doesn’t rely on the WFP -- said Thursday that its kitchens had run out of proteins. Instead, they make stews from canned vegetables. Because fuel is scarce, it dismantles wooden shipping pallets to burn in its stoves, it said. It also runs the only bakery still functioning in Gaza, producing 87,000 loaves of pita a day.

The WFP said 116,000 tons of food is ready to be brought into Gaza if Israel opens the borders, enough to feed 1 million people for four months.

Israel has leveled much of Gaza with its air and ground campaign, vowing to destroy Hamas after its Oct. 7, 2023, attack on southern Israel. It has killed over 51,000 Palestinians, mostly women and children, according to Gaza’s Health Ministry, whose count does not distinguish between civilians and combatants.

In the Oct. 7 attack, gunmen killed about 1,200 people, mostly civilians, and abducted 251. They still hold 59 hostages after most were released in ceasefire deals.