BEIRUT (AP) — The International Monetary Fund projected Tuesday that Lebanon’s economy will shrink 12% in 2020 amid the country’s worst economic and financial crisis in decades.

The announcement came as the local currency hit its highest pound-to-dollar exchange rate ever on the parallel market.

Lebanon has suffered in recent years from a lack of economic growth, high unemployment and a drop in hard currency inflows from abroad. But the financial crisis erupted after nationwide protests over widespread corruption and decades of mismanagement by the ruling political class engulfed the country in October.

A lockdown aimed at curbing the coronavirus pandemic has worsened Lebanon’s economic and financial conditions. Many businesses have been closed for the past month to limit the spread of the virus