As most of people knows that , Sri Lanka's serious shortage of foreign exchange, shortage of materials, high prices, and shortage of power supply, the country is on the verge of bankruptcy, Lebanese Deputy Prime Minister Shami recently announced without warning that "Lebanon is in a state of bankruptcy.
Lebanon has faced a tough financial situation since 2019. In response, the Lebanese Deputy Prime Minister Shami came forward again and emphasized to the local media that he had been talking about "the government's inability to make a significant contribution to making up for losses in the financial industry", "which means it has no liquidity." Subsequently, the press office of Lebanese Prime Minister Najib Mikati also said in a statement that Deputy Prime Minister Shami's statement about Lebanon's declaration of bankruptcy was "fragmented" and that he was referring to "liquidity, not repayment." ability".
According to the relevant regulations, "bankruptcy" means that the government is unable to pay debts and interest as they come due. Among them, one of the reasons for the bankruptcy of a country is a lack of liquidity, when a country is temporarily unable to repay its debts and pay interest due to its inability to liquidate its asset base quickly, it may declare “bankruptcy”. However, Dr. Anis Abu Diab, a member of the Lebanese Economic and Social Council, said in an interview that "while Lebanon has [really] faltered in repaying its debts, it is not yet a bankrupt country".
In 2022, affected by the conflict between Russia and Ukraine, domestic prices in Lebanon will fluctuate sharply again. You must know that the country relies heavily on imports, and 60% of the total wheat consumption comes from Ukraine and Russia. In response, Lebanese economist Elie Yakuri even warned that the Russian-Ukrainian conflict would evolve into Lebanon's own crisis. He also made a special explanation with flour, "The price of a kilogram of flour used to be 1,000 or 2,000 Lebanese pounds, but it may rise to 40,000 Lebanese pounds in the future." In short, affected by political, economic, epidemic and other factors, Lebanon has , the Middle Eastern country is going through the worst economic crisis in its history.
Regarding the current social and economic situation in Lebanon, some buyers' production and business activities are affected by social unrest in the country and the shortage of domestic dollars, resulting in payment arrears. Coupled with the current influx of Russia and Ukraine and the global epidemic, the tourism industry, which is Lebanon's main source of foreign exchange income, will be further affected.
It is expected that business risks will further increase as the multiple political and economic situations in Lebanon continue to deteriorate. Especially in the current situation where Lebanon's exchange rate has plummeted, the local currency has depreciated, and the economy is facing high risks, importers are likely to use this loophole to damage the interests of suppliers due to cost pressures. Risk control, beware of risks such as abandonment of goods and non-payment by buyers at the destination port, so as to avoid loss of money and goods.
In view of the current national situation in Lebanon, in order to effectively control risks, it is recommended that export companies:
1. Prudently carry out trade activities with Lebanese buyers, pay close attention to the further implementation of Lebanon's foreign exchange control measures, track foreign exchange receipts in real time, use third-country payment methods in a timely manner, and strengthen communication with buyers on recent shipment arrangements, foreign exchange purchase payments, etc. , pay attention to control the right of goods and the rhythm of shipment, and arrange shipment reasonably.
2. Do a good job of risk prevention for relevant businesses, and promptly notify the export credit insurance company of the buyer's situation of the risk change found.
3. Prudently accept the quota demand of Lebanese country buyers or issuing banks. For export enterprises with long-term trade experience with Lebanon and a certain level of risk control, if there is a real demand for orders, they can verify the buyer’s credit status based on the credit status of the buyer or the issuing bank. The foreign exchange purchase method, payment route, etc. will be prudently accepted.
For more info about cables or export issue you can check with kexun cable factory .
Kexun cable, a cable company with exporting more than 20years to world . A factory you can believe. If you need cables , you can buy from us. Every year exporting 1000 containers to the world. At present, the company's products have a number of international and domestic quality certification certificates, like CE, ROHS, CPR, ISO9001 etc.
We are one of the biggest and professional manufacturer of coaxial cables (such as RG6 .RG11.RG59.RG58 with standard shield/tri-shield/quad shield. RG59+2DC. RG6+2DC FOR CAMERA) and also LAN cable (CAT5E/CAT6E etc).For more information about our production, would you please visit our website www.kexuncable.com )
We have 3 factories, one produces the cables, one produces the inner conductor, another one produces the PVC jacket, and also we importing PE from Japan, Saudi, Taiwan etc, so we have the competitive prices in China.
And we export our products for over 20 years, we have professional team for the export and document paper work.
We sure our competitive prices, good quality, advanced service will help you to occupy the market in your country.
The company adheres to the tenet of "do everything possible to produce products that meet customers in order to benefit the company's economic booming. We believe that the company will never stop exploring and developing, and keep pace with China's domestic and world international companies.
So if you are interested in our coaxial cables, just come back to me for any needs.