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Money changers in protests-hit Lebanon agreed to cap the dollar exchange rate at 2,000 pounds as part of efforts to curb the local currency's devaluation on the parallel market.

The Lebanese pound is officially pegged to the greenback at a rate of 1,500 to the dollar but the country's sharp economic downturn has sent the currency into a tailspin in foreign exchange offices.

Money changers have in recent weeks been trading dollars at more than 2,600 pounds. The Lebanese Money Changers Association said it had agreed with the central bank on "an exchange rate for the US dollar capped at 2,000 Lebanese pounds." The measure will take effect from Wednesday, it said in a statement.

Copyright Agence France-Presse, 2020

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