Lebanon considers selling gold reserves to save banks and the economy

BlockBeats News, February 23, according to the Financial Times, bankers and politicians in Lebanon are considering selling or leasing part of the central bank's massive gold reserves as a way to rescue the country's economy. The value of these gold reserves has soared along with the surge in gold prices.

The Central Bank of Lebanon holds over 280 tons of gold, second only to Saudi Arabia in the Middle East, which is rare for a country with such a small territory. The bank began accumulating gold reserves in the 1940s and 1950s to support the value of the Lebanese currency. Since 2019, Lebanon has been plagued by economic collapse, but all parties have failed to reach a consensus on a solution.

However, the sale of the nation's accumulated gold reserves has met with strong opposition from the public, who believe it is a stopgap measure that benefits a minority at the expense of the majority.