by reuters.com -- - It was 2008 and unlike many countries, Lebanon was sailing through the worst global downturn in 80 years largely unscathed. With a booming economy and resilient banks, central bank governor Riad Salameh confidently talked up Lebanon’s success. “I saw the crisis coming and I told the commercial banks in 2007 to get out of all international investments related to the international markets,” Salameh, now one of the world’s longest-serving governors at 26 years, told the BBC at the time. Those efforts were lauded by the IMF and accolades followed. More than a decade later, however, his record is under attack. Detractors partly blame Salameh’s policies for Lebanon’s worst economic crisis in 30 years, including strains in the financial and banking system not seen even during the 1975-90 civil war. Defenders view the central bank as the linchpin of stability and one of few institutions that has operated effectively through years of bad government by politicians whose corruption is the underlying cause of the crisis.

Protesters on the streets, who once revered Salameh’s ability to steer the financial system through bouts of unrest, now daub graffiti on the walls of the central bank. “People used to think the governor was a god but now they know what is happening,” said Leila, a 30-year-old entrepreneur. The policies that largely defined his tenure include the Lebanese pound’s peg to the dollar and, in recent years, so-called “financial engineering”, involving siphoning dollars from local banks at high interest rates to keep the government’s finances afloat. His approach has drawn increasing criticism in the wake of anti-government demonstrations that erupted on Oct. 17 and led Saad al-Hariri to step down as prime minister, panicking depositors to pull billions of dollars from banks. This week banks shut again, after being closed for much of October, and have restricted transfers abroad and curbed U.S. dollar withdrawals.

DWINDLING INFLOWS

By AFP — BEIRUT: Lebanese protesters who have been demanding radical reform reacted with anger Friday to the reported designation of a …

BEIRUT (Reuters) By Tom Perry and Laila Bassam– Three major Lebanese parties have agreed on nominating Mohammad Safadi, a former finance minister, to …

by thenational.ae -- Sunniva Rose and James Haines-Young  -- Protesters closed the highway from the Lebanese capital to Baabda Palace on Wednesday and refused an invitation to meet President Michel Aoun. The demonstration outside the presidential palace came on the 28th day of the mass uprising against the government and decades of corruption. On Wednesday evening, men with guns and knives arrived at a protest in Jal El Dib, north of Beirut, leading to fights with protesters. At least one man fired into the air before being disarmed. Earlier in the day, Mr Aoun conveyed a message through the presidential guard for the protesters outside the palace to send in a delegation to discuss their demands. But the demonstrators refused to send a small number of people, insisting that if the president wanted to hear their complaints he would have to speak to all those gathered.

Protesters expressed anger at an interview Mr Aoun gave on Wednesday evening, in which he said: “If they do not like any person in authority, let them emigrate.” “He told us, ‘If you don’t like what is happening, just leave',” said Guy Younes, 29, a civil engineer. "How is that possible in any country in the world? This is so stupid. He wants us to leave, 250,000 people to leave. Architecture student Nicholas Habib, 25, said: “We have a lot of requests. The first is the resignation of Michel Aoun and then we have to make selections and a technocratic Cabinet. “We want technocrats, we do not want politicians. It is engineers who are going to be judges and in the ministries, people who have nothing to do with politics.”

Mr Habib said Mr Aoun’s speech on Wednesday night angered him. “How can a president of a republic say that to his people?” he asked. But Mr Habib said he was optimistic that the president would eventually be forced to resign. People chanted, “We won’t go until the ‘father of all’ leaves,” using Mr Aoun’s self-given title. “Leave, leave, leave, your presidency is starving people.”

Marie-Therese Tabet, 65, who lives in Beirut, called for a new government that could stop the brain drain. “Our children, who are supposed to work, are highly educated people, hyper-responsible, but can’t find a way out so they go abroad where they succeed," Ms Tabet said. "Why not take advantage of these brains to maintain this country?” Two women standing on the motorway to Baabda said the president’s message had been provocative and spurred people to hit the streets on Wednesday. “Instead of calming things down, people got very angry and it’ll probably push the level of anger and tension even higher,” one of the women said. “Of course we don’t trust him. Why would the people trust a government that failed them for years and years? "He was just not listening to what people were saying, and it ended up with a terrible outcome last night.”