Discussions continue on Lebanon's Central Bank Governor's term as expiration nears

Thirty-seven days before the end of the term of Central Bank Governor Riad Salameh, LBCI has reported that discussions are still ongoing behind the scenes regarding the continuation of the bank's operations after Salameh's term expires on July 31, particularly in the event of a presidential vacuum.

Sources indicate that the topic of administrative extension for the governor has resurfaced. Still, the problem lies in who would endorse this proposal, as well as the requirement of the approval of two-thirds of the Cabinet members, which is currently unavailable.

However, sources revealed another scenario under consideration, which involves the four deputies of the governor resigning after the end of his term. In response, the Cabinet would reject their resignations and appoint them, along with the outgoing governor, to continue managing the institution until a new governor is appointed.

Furthermore, the sources highlight that the appointment step is not an extension or renewal of the governor's term and thus does not require the approval of two-thirds of the Cabinet members. It is sufficient for the decision to receive the majority.