Lebanon: Retailers to Shut Down amid Debilitating Crisis

Anti-government protesters carry Lebanese flags and burn tires as they block the main highway north of Beirut during a protest over deteriorating living conditions. EPA
Anti-government protesters carry Lebanese flags and burn tires as they block the main highway north of Beirut during a protest over deteriorating living conditions. EPA
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Lebanon: Retailers to Shut Down amid Debilitating Crisis

Anti-government protesters carry Lebanese flags and burn tires as they block the main highway north of Beirut during a protest over deteriorating living conditions. EPA
Anti-government protesters carry Lebanese flags and burn tires as they block the main highway north of Beirut during a protest over deteriorating living conditions. EPA

Major retailers in Lebanon announced on Thursday they will temporarily shut down in the face of an increasingly volatile currency market and their inability to set prices while the Lebanese pound plunges against the dollar.

Later in the day, owners of the businesses rallied in central Beirut to denounce the government’s inability to handle a deepening economic and financial crisis, and urging others to join them.

“The company is losing and ... (the customers) think we are robbing them," Samir Saliba, owner of sportswear retailer Mike Sport, told The Associated Press. “We want a clear economic policy to know how to move forward and not buy our dollars from the black market and be humiliated with the brokers and money changers."

The protesters called on the government to resign and urged other stores to join their protest shutdown.

The Lebanese pound recorded a new low Thursday, selling at nearly 10,000 for a dollar and maintaining the downward slide that saw the national currency lose about 85% of its value over the past months.

Despite government and central bank efforts to regulate the foreign currency rate, a parallel market has thrived and inflation is soaring as the dollar becomes increasingly scarce.

Amid the tumbling pound, prices and inflation have soared. Power cuts have also increased, as the government struggles to secure fuel and diesel, while grocery stores began imposing a limit on how many items customers can buy amid a rush to hoard basic goods.

The country is experiencing an unparalleled economic meltdown, rooted in years of mismanagement and excessive public spending.

On Thursday, embattled Prime Minister Hassan Diab accused “local and external parties” of seeking to besiege Lebanon and make his government fail. He also accused internal forces he did not name of causing the currency crisis.

“The dollar game has become exposed and visible,” he told a Cabinet meeting. Diab also claimed foreign countries were “blatantly interfering in Lebanon's affairs,” aided by internal powers to “drag Lebanon into the region's conflicts.” He did not elaborate.



US Energy Secretary Says Riyadh and Washington to Sign Civil Nuclear Agreement

US Energy Secretary Chris Wright speaks at the press conference in the Saudi capital Riyadh. Photo: Turki al-Aqaili
US Energy Secretary Chris Wright speaks at the press conference in the Saudi capital Riyadh. Photo: Turki al-Aqaili
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US Energy Secretary Says Riyadh and Washington to Sign Civil Nuclear Agreement

US Energy Secretary Chris Wright speaks at the press conference in the Saudi capital Riyadh. Photo: Turki al-Aqaili
US Energy Secretary Chris Wright speaks at the press conference in the Saudi capital Riyadh. Photo: Turki al-Aqaili

The United States and Saudi Arabia will sign a preliminary agreement on energy cooperation and civilian nuclear technology, US Energy Secretary Chris Wright said on Sunday.

Wright spoke at a press conference in the Saudi capital Riyadh where he arrived from the United Arab Emirates on Saturday as part of a regional tour that will also take him to Qatar.

His visit comes amid world economic turmoil over the tariffs imposed by US President Donald Trump. But Wright said that these tariffs don’t seek to restrict trade, rather they aim for fair and reciprocal trade.

His visit also comes ahead of an expected visit by Trump to the Kingdom, the UAE and Qatar in May to consolidate relations.

The US Energy Secretary told journalists at the Saudi Energy Ministry that Riyadh and Washington were on a "pathway" to reaching an agreement to work together to better develop energy resources and energy infrastructure, in addition to mining cooperation, civilian nuclear technology and energy production.

Wright said further details over a memorandum detailing the energy cooperation between Riyadh and Washington would come later this year.

Saudi Minister of Energy Prince Abdulaziz bin Salman announced last September that the Kingdom is working to develop peaceful uses for nuclear energy across various fields.

In his press conference on Sunday, Wright discussed the meetings he has held in Riyadh. There have “been very wide ranging dialogues for a day and a half now and they're going to continue. We've talked about energy in all aspects of energy. We've talked about mining, critical materials. We've talked about processing in industry. We've talked about climate change. We've talked about human lives and what drives their improvement and how best to achieve those ends,” he said.

On Saturday, Prince Abdulaziz met with Wright at King Abdullah Petroleum Studies and Research Center (KAPSARC) where the US official was briefed on the Center's role in the fields of energy policy research and its transitions, climate change, sustainable transportation, and consultancy services, in addition to the development of models and analytical tools that contribute to finding solutions to current challenges in the energy sector. They also discussed opportunities for cooperation in energy research, exchange of expertise, and strengthening joint research efforts.

Wright said Sunday that he believed “Saudi Arabia will be one of the leading countries in investing in the United States. I think that's a win for the Kingdom here. It's a win for the United States. And for us, most importantly, it's a win for the working class and American citizens to have better job opportunities.”

He added that the “broader objectives” of the US and Saudi Arabia “are prosperity at home and peace abroad.”

Wright also said in response to a question by Asharq Al-Awsat that tariffs are part of Trump's economic agenda.

He said Trump is trying to grow the flow of goods outside the United States into other countries while sustaining imports and engagement with countries from around the world. “So that's a way you could describe this. Fair trade, not restricted trade, just fair trade, reciprocal trade.”

He added that the United States has seen a lot of its intensive industries, particularly energy, move outside of the country and be outsourced somewhere else. “Too many Americans have seen their job opportunities shift overseas.”

“So tariffs are also a way to give a nudge and encourage investment into our country, to make products in our country, to grow economic opportunity and prosperity in America.”