IMF, Lebanon strike conditional deal on $3b aid

AFP

2 min read
Lebanon's President Michel Aoun (L) meeting with Prime Minister Najib Mikati (R) at the presidential palace in Baabda, east of the capital Beirut, on April 7, 2022.
DALATI AND NOHRA / AFPLebanon's President Michel Aoun (L) meeting with Prime Minister Najib Mikati (R) at the presidential palace in Baabda, east of the capital Beirut, on April 7, 2022.

Agreement puts country 'back on the global finance map'

The IMF announced Thursday a conditional agreement to provide Lebanon with $3 billion in aid to help it emerge from a severe economic crisis, following months of negotiations.

The country has been battered by triple-digit inflation, soaring poverty rates and the collapse of its currencies since a 2020 debt default.

https://twitter.com/i/web/status/1512076076414955524 ...

This post can't be displayed because social networks cookies have been deactivated. You can activate them by clicking .

Officials in Beirut applauded the announcement as it will open the door to additional financial support from foreign donors.

But experts reiterated doubts over the willingness of Lebanon's political elite, widely blamed for endemic corruption, to implement the reforms needed to resuscitate the economy.

The deal is "a visa stamp for donor countries to begin co-operating with Lebanon and to put Lebanon back on the global finance map," Prime Minister Najib Mikati told reporters on an upbeat note after the International Monetary Fund announcement of the "staff-level agreement."

Ernesto Ramirez Rigo, who led the IMF mission to Lebanon, said that once approved by the global crisis lender's board, the 46-month financing program will "support the authorities' reform strategy to restore growth and financial sustainability."

However, approval is contingent on "timely implementation of all prior actions and confirmation of international partners' financial support," he said in a statement.

This article received 0 comments