The IMF delegate sets four priorities for negotiations with Lebanon


The Executive Director of the International Monetary Fund, Mahmoud Mohieldin, is heading to the conclusion of his tour in Lebanon, which comes within the framework of reviewing the preparations and practical steps that Lebanon possesses, which will help him make the negotiation process with the International Monetary Fund a success, in preparation for a way out of the crisis.
After a series of meetings that included President Michel Aoun, Representatives Nabih Berri, and a number of ministers, Mohieldin met on Thursday, October 21, with Minister of Foreign Affairs and Emigrants Abdullah Bou Habib.

And the meetings do not mean negotiating with the Lebanese government or with the Banque du Liban, but rather aim to “get to know the state’s priorities.” Mohieddin sums up the four priorities, which are “the pillars of future dealings with the International Monetary Fund and a framework for negotiation.”

The first priorities or files are related to “public financial policies, and everything related to restructuring the public debt and preparing a disciplined budget in accordance with international standards, with a major component related to supporting social activity and all activities related to major social services.” The second priority is “reforms related to the financial sector, by focusing on the banking system and the role of the Banque du Liban, and identifying losses in accordance with approved technical studies and international standards.”
The third priority is “the unification of the exchange rate regime”. The fourth is “structural reforms and the emphasis on governance, transparency, and priority sectoral matters determined by the state.”
Despite the difficulty and complexities of the situation in Lebanon, Mohieddine is optimistic that makes him believe that the government and the Banque du Liban will start working on those priorities in the “coming weeks. Because it is important to consider time.”
In the event that Muhyiddin’s hopes are true, and the government and the Banque du Liban set a framework to present it to the fund in the coming weeks, “it can then be presented to the fund’s board of directors, and the form of the program and the financing framework associated with it will be determined, thus gaining confidence in the Lebanese economy and returning financial flows to their previous era.”


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