Lebanon's gold reserves have been estimated at $23.3 billion, positioning the country as the second-largest holder of gold among Arab nations, according to a recent list issued by Forbes Middle East.

The rise in value comes as global gold prices reached record highs above $2,500 per ounce, driven by a weaker dollar, speculation about potential US Federal Reserve rate cuts, and ongoing geopolitical tensions in the Middle East.

Despite Lebanon's ongoing economic and political crises, the country’s gold reserves have proven to be a critical asset. With 286.8 tons of gold, Lebanon's reserves constitute a staggering 59.8% of the nation's total foreign reserves—the highest percentage among Arab countries. This significant reliance on gold underscores the central role that the precious metal plays in Lebanon's financial strategy, particularly in times of instability.

Lebanon's ranking just behind Saudi Arabia, which leads the Arab region with 323.1 tons of gold valued at $26.3 billion, highlights the country's substantial holdings. In contrast, other Arab nations hold less significant amounts. Algeria, for instance, ranks third with 173.6 tons of gold valued at $14.1 billion, followed by Iraq with 148.3 tons worth $12.1 billion, and Libya with 146.7 tons valued at $11.9 billion.

Lebanon’s extensive gold reserves have long been viewed as a vital buffer against the nation’s economic challenges. Amid currency devaluation and soaring inflation, the value of these reserves has taken on even greater significance. As global gold prices continue to rise, Lebanon's gold holdings provide a measure of financial stability in an otherwise volatile economic landscape.

The recent surge in gold prices has been fueled by several factors, including investor concerns about economic uncertainty and geopolitical risks. With central banks worldwide seeking to diversify their reserves away from the dollar, gold has emerged as a preferred store of value. The World Gold Council reported a 6% year-on-year increase in net central bank purchases of gold in the second quarter of this year, reflecting the growing trend among nations to bolster their gold reserves.

For Lebanon, the value of its gold reserves offers a rare positive amid the broader economic turmoil. As the country continues to navigate its way through a challenging period, the stability provided by its gold holdings remains crucial.