Why Israel is now bombing Lebanese banks
  • @[email protected]English
    2•2 months ago

    The short version is that Lebanon’s official financial system is very weak.

    the Lebanese pound has lost 98% of its value against the dollar since the financial crisis [in 2019]; last year inflation reached a high of 221% and debt hit 285% of GDP.

    In this context, Hezbollah has a lot of influence though its own alternative financial system. Despite sanctions, this system has access to money that actually has value, largely through support from Iran. Apparently Israel is doing real damage to its ability to function and therefore to Hezbollah’s ability to pay supporters.