Lebanon’s Finance Minister Yassine Jaber said on Wednesday there would be a new deal between his country and the International Monetary Fund, according to a statement released by the finance ministry after a meeting with a visiting IMF delegation.
During his meeting with Lebanese President Joseph Aoun, the head of the IMF mission, Ernesto Ramirez Rigo, called for the implementation of a unified financial reform package to help Lebanon overcome its financial crisis.
Aoun agreed with Rigo and stressed Lebanon was committed to proceeding with the proposed reforms.
These reforms are hoped to pave the way for a final agreement that would enable Lebanon to secure loans from the IMF, contributing to the revival of its ailing economy.
The IMF delegation is set to hold talks with Prime Minister Nawaf Salam and Parliament Speaker Nabih Berri, along with Jaber, to discuss the specifics of the economic plan and the necessary measures.
The final plan for the reforms is not yet known, but the necessary restructuring of the economy is thought to be enormous, with Israel’s attack on the country also leading to unprecedented economic losses.
Lebanon has been deep in an economic crisis since 2019, when its financial system collapsed under the weight of state debts, prompting a sovereign default in 2020 and freezing ordinary depositors out of their savings in the banking system.
In 2022, Lebanon reached a draft agreement with the IMF for financial assistance, but the deal was tied to reforms that the authorities have yet to implement.
“I expressed the Lebanese government’s determination to carry out all necessary reforms – not because anyone demanded it, but because the country itself needs these reforms,” Jaber said.
He added that the government presented its priorities for the upcoming period to the IMF, including the appointment of a central bank governor.
The IMF will visit Lebanon again in early April if a new central bank governor is appointed, Jaber said.
He said further talks would be held with the IMF on Thursday in Lebanon.
Prime Minister Nawaf Salam added that the World Bank had presented a $1 billion programme for the country’s reconstruction, including a $250 million loan.
