Lebanon Taps Dollar Reserves to Support Battered Currency as Conflict Extends

  • Lebanon’s reserves drop for first time in more than a year
  • Lebanon’s economy has contended with a ground war, air strikes

Smoke rises following an Israeli strike in Beirut on Nov. 12.

Photographer: Patrick Baz/AFP/Getty Images
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Lebanon’s foreign-exchange reserves dropped for the first time in more than a year as the central bank spent dollars to prop up the pound after weeks of war.

Banque du Liban’s reserves fell by more than $400 million in October, the first decline since July 2023, according to central bank data. Total liquid reserves now stand at about $10.3 billion, excluding the $5 billion in eurobonds on which the Lebanese state defaulted.