Saudi Arabia could also withdraw $1 billion from the Central Bank, but economists say this would not make a big difference. (The Daily Star/Mohammad Azakir)
Your feedback is important to us!
We invite all our readers to share with us their views and comments about this article.
Disclaimer: Comments submitted by third parties on this site are the sole responsibility of the individual(s) whose content is submitted. The Daily Star accepts no responsibility for the content of comment(s), including, without limitation, any error, omission or inaccuracy therein. Please note that your email address will NOT appear on the site.
Alert: If you are facing problems with posting comments, please note that you must verify your email with Disqus prior to posting a comment. follow this link to make sure your account meets the requirements. (http://bit.ly/vDisqus)
Lebanon's remittances and capital inflow could fall dramatically if some of the oil-rich Gulf states decide to expel a big number of Lebanese expatriates, economists warned Tuesday.However, Wazni did not believe that the GCC would expel all the Lebanese because it would be very difficult to find replacements for qualified employees.Wazni said that in the worst-case scenario, which is not very likely, the Gulf states could expel the 75,000 Shiites expatriates, and if this happens the economic ramifications would be terrible.He stressed that Saudi Arabia and the GCC states have no interest in destabilizing the situation in Lebanon, especially since most of the economic sectors are very close to the Gulf States.Economist Marwan Iskander warned that the expulsion of the Lebanese Shiites from the GCC could have counter-effects.According to Iskander, the immediate effects of the Saudi measures are psychological and not financial.
Dollar demand ‘nothing unusual’, Lebanese bankers say
Lebanon to pay top yield on new Eurobonds
S&P: Lebanon FX reserves enough for a year
FOLLOW THIS ARTICLE