Deputy Governor's Possible Resignation Puts Lebanon's Economic Reform Plan at Risk

Lebanon Economy
2023-07-29 | 08:32
High views
Share
LBCI
Share
LBCI
Whatsapp
facebook
Twitter
Messenger
telegram
telegram
print
Deputy Governor's Possible Resignation Puts Lebanon's Economic Reform Plan at Risk
Whatsapp
facebook
Twitter
Messenger
telegram
telegram
print
3min
Deputy Governor's Possible Resignation Puts Lebanon's Economic Reform Plan at Risk

It seems that the resignation of the First Deputy Governor, Wissam Mansouri, is now behind him, following the positive atmosphere that prevailed during the meeting between the four deputies and Caretaker Prime Minister Najib Mikati last Thursday.

 

On Monday, Mansouri will hold a press conference to announce his plan, which represents a complete departure from the politics that have been adopted for thirty years, as gradual behavioral change is deemed necessary, according to the sources. 

 

Otherwise, the most vulnerable people will be the ones who suffer the most.

 

During his conference, Mansouri explained that implementing the proposed reform plan would allow for the liberation of the exchange rate. 

 

The core of this plan involves lending the government in dollars, followed by the approval of capital control and the restructuring of banks and the 2023 budget within the next six months, which is considered more than sufficient, according to the sources. 

 

Meanwhile, the security forces will be on guard against those manipulating the exchange rate and engaging in dollar speculation.

 

With the approval of the budget and capital control, the government will become self-reliant, and at the same time, stabilizing public sector salaries will be possible through increasing tax revenues and improving state income, as per the plan. 

 

It is worth noting that the government had previously requested a loan of 1.2 billion dollars to cover expenses and salaries, with the requirement set by the deputies of the Governor to enact a law for it.

 

According to sources from the deputies of the Governor, Mansouri's plan has encountered strong opposition so that the government will present it as a draft law to the Parliament. 

 

Suppose there are opposing voices in formulating the project by the caretaker government. In that case, it can still be adopted through the support of ten deputies to present it as a legislative proposal.

 

However, since borrowing through a government project faces legal obstacles after the State Council's rejection of borrowing from the compulsory reserves due to the absence of any monetary and credit law conditions and the impossibility of using any amount from the compulsory reserves, the situation is complicated. 

 

In the face of this reality and with the opposition boycotting any legislative session in the absence of a president, will the remaining major blocs, including Hezbollah and Amal Movement, respond to their call for legislation?

 

The Democratic Gathering will discuss the borrowing proposal by studying its social, health, educational, and living impacts on people in order to act accordingly. 

 

As for the Free Patriotic Movement's problem is not with the principle of legislation if they find it necessary, but rather the core of the proposed plan and whether it complements old policies. In any case, the matter is subject to the upcoming meeting of the Strong Lebanon bloc.

 

Lebanon News

Lebanon Economy

News Bulletin Reports

Lebanon

Economy

BDL

LBCI Next
Critical week ahead for Lebanon: Governor's term ends amidst political and financial uncertainty
Countdown to the end: BDL Governor's deputies' critical decision as Governor's term expires in three days
LBCI Previous
Download now the LBCI mobile app
To see the latest news, the latest daily programs in Lebanon and the world
Google Play
App Store
We use
cookies
We use cookies to make
your experience on this
website better.
Accept
Learn More