BEIRUT, Nov. 15 (Xinhua) -- Lebanese Energy Minister Nada Boustani said on Friday that the government will start importing part of the fuel oil consumed in Lebanon, the National News Agency reported.

"The government will start importing fuel oil since oil importing companies are no longer capable of satisfying the local market's needs, because they cannot secure enough U.S. dollar to import the needed volume of the commodity," Boustani said.

Lebanon has been facing shortage in U.S. dollar currency due to economic slowdown and the drop in cash injections from the Lebanese abroad which have reduced the central bank's foreign currency reserves.

The demand for dollar has created a parallel market in which the dollar is selling on the black market at 1,600 Lebanese pounds which is higher than the official exchange rate.

As a result, importers of some basic products such as fuel, medicine and wheat could not secure enough dollars at the regular exchange rate to pay for their imports.

Importers of basic commodities will have to pay higher for their imports if they succeed in securing their U.S. dollar needs from currency exchange companies which would lead them to increase their prices.

This has prompted the Central Bank to issue a circular aimed at securing dollar funding for the imports of gasoline, wheat and medications.

However, the problem was not totally solved and importers could only secure 85 percent of their dollar needs.

Boustani said that the government will import part of the market's fuel needs which will allow consumers to buy gasoline at regular prices.

Lebanon's oil needs were usually secured by oil importing companies only. Enditem

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