Written by Bahaa Ramli
Translated by Rana Hajj

NNA - Economic perils and risks flare-up by the day, only to burden the Lebanese citizen's life with additional qualms. Starting with the security, political, and economic situation, reaching the nation's social and poor living conditions, all make it almost impossible for most families to make it through a decent day.

Substantial solutions being sought to resolve this unfortunate social issue remain hanging between the growing schism in viewpoints and strategies adopted by the nation's decision-makers on the one hand, and the varying demands by different syndicates seeking more rights to keep up with the ever increasing prices, on the other.

It is true that a wage hike had been endorsed back in early 2012, but the souring prices which emerged afterwards at the private and public sectors' "fees-grids" soon sapped its value as a purchasing power.

Head of the Consumers' Association, Zouheir Berro, and the Deputy Head of Beirut's Chamber of Trade, Industry, and Agriculture, Nabil Fahed, both shared their varying views on this harsh reality, giving different analytical views on similar issues.

For his part, Berro lamented the incessantly increasing prices, at the absence of official censorship on traders and markets, which are left functioning without any control.

"This has led to a multiple increment of local prices in comparison to their rise at the international level" said Berro.

He did not fail to lambast the currently adopted "arbitrary style" of increasing prices, warning of a likely economic inflation in the making.

"We have all noticed how price hikes which are not based on through economic studies have had their negative repercussions by devouring the already hiked wages," he said.

Berro thought it would have been better if only the wage hike had been replaced with a well-studied overhaul of public sectors, such as electricity, phone, health, education, and other services.

"Especially that the Lebanese citizens pay the highest fees -- world-wide -- in return for such services," he said, explaining that the prices of goods and services in Lebanon were the most expensive, compared with neighboring countries.

"Even in Jordan, prices are much lower than they are in Lebanon," he added.

Moreover, Berro demanded a limit be set for the ever-increasing prices by means of activating the role of COOP institution "to become controlling mediator in the market especially that it endeavors to preserve the right of farmers and consumers alike."

"The market should not be allowed to pump up prices and manipulate quality by cheating and forging paperwork," he said, reiterating his request for an active and deterring role by state apparatuses to penalize violators.

In turn, Fahd shared a differing perspective on the economic situation in Lebanon. In his view, the prices of livelihood requirements have not risen above their normal limits.

"The %6.5 which had been registered back in 2012 is very acceptable looking at the situation in Lebanon," he said.

Albeit, Fahd blamed the 2012 wage hike for the increasing financial demand of local companies, which also failed to grow at the absence of demand.

"Inflation and stagnation shall continue if the matter is not properly handled," he warned, pinning hopes on the Lebanese Central Bank's decision to buoy institutions with more facilities.

"We hope that the state will welcome the Central Bank's initiative by increasing investments and mitigating burdens on productive institutions to be able to continue and expand," he added.

But Fahd stressed as well the paramount importance of increasing wages so as to preserve the consumers' purchasing power. However he stressed that any increase ought to be perpetual in line with annual inflation.

"The trade sector's sole concern is to equip citizens with spending power," he added.

Fahd also noted that the agreement which had been reached by the Index Committee and the General Labor Confederation over a %17 increase in wages had been countered with a surprising %35.

"This is double the amount agreed upon by both sectors, not to mention goes beyond the capacity of the private sector and the economy, which both cannot take this shock at one time," Fahd added, suggesting that such increase be made over a 3-year span.

================R.H.