“Lebanon Debate”
In Lebanon, the prices of goods have seen a significant rise, causing considerable worry among citizens, particularly due to the wide disparities observed between different governorates.
According to the consumer price index for June, there was a 0.28% increase compared to May, with the South Governorate recording the highest rise at 2.6%, followed by Beirut at 1.29%.
Sources from the Ministry of Economy informed Lebanon Debate that both internal and external factors contributed to this surge. These include a steep rise in shipping costs, up to 60%, and a dramatic increase in the customs exchange rate by 60-fold, alongside elevated domestic operational expenses.
In response, the ministry conducted over 2,000 inspections in June, resulting in more than 100 entities being referred to the judiciary for unjustified price hikes.
Officials highlighted that some traders are exploiting the situation to unjustifiably raise prices, prompting stringent measures by the ministry to curb such violations.
Meanwhile, representatives from the Syndicate of Food Importers attributed the price hikes to ongoing tensions in the Red Sea and the Russian-Ukrainian conflict, although they cautioned against exaggerated predictions of further increases. They believe that future price adjustments will be less drastic, noting that shipping costs have already seen significant escalations following the Red Sea incidents.
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