Lebanese pound edges higher, trading volatile

One dollar cost LL8,600, while unlicensed traders paid LL8,200 per dollar to those wishing to buy the local currency

  
A money exchange vendor displays Lebanese pound banknotes at his shop in Beirut, Lebanon, August 16, 2018.

A money exchange vendor displays Lebanese pound banknotes at his shop in Beirut, Lebanon, August 16, 2018.

REUTERS/Mohamed Azakir

BEIRUT: The Lebanese pound rose slightly on the black market Wednesday, trading at LL8,400 to the dollar.

One dollar cost LL8,600, while unlicensed traders paid LL8,200 per dollar to those wishing to buy the local currency.

Those respective rates were at LL7,800 and LL7,500 in the morning, indicating the volatility afflicting the pound and difficulty businesses face when trying to price their products. Tuesday the dollar was trading at LL8,800.

The Central Bank on its Sayrafa app meanwhile ordered licensed exchangers to sell dollars at LL3,900 and buy them at LL3,850 Wednesday. Only Lebanese can access dollars at this rate. Purchase is approved for certain transactions only and with caps set.

The currency on the black market is now worth just 20 percent of the official LL1,507.5 Banque Du Liban rate. That rate is now reserved mainly for imports of wheat, fuel and medicines.

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