Lebanon’s finance minister says no new taxes in 2025, vows tougher revenue collection

Lebanon’s Finance Minister Yassine Jaber said financial pressure on the state is higher than usual, stressing that no new taxes were introduced in 2025.

Jaber said the ministry has, for the first time, referred 200 companies to the public prosecutor for tax evasion, while customs revenues have increased as part of broader efforts to improve tax collection.

On the Sayrafa platform, he said beneficiaries are required to pay 17%, adding that in coordination with Banque du Liban, an international firm will conduct an audit into the subsidies that were granted.

Jaber said the ministry is working on all fronts to recover state funds, noting that collection orders were issued for quarry operations for the first time. 

He pointed out that more than 50% of the state budget goes to salaries, making it necessary to take measures to secure funding.

He said work is underway on a civil service wage adjustment plan, but it is not yet ready to be launched.

Addressing prices, Jaber said the decision was taken to immediately apply the fuel price increase to prevent a black market, while any increase in VAT would require legislation and would not be implemented immediately.

He said government decisions are expected to generate $620 million, adding that 30% of imported goods are exempt from VAT, and that all public-sector employees receive fuel vouchers paid for by the state treasury.

Jaber reiterated that the heavy wage bill left the government with no choice but to act, stressing ongoing coordination with the central bank. “Any mistake could destabilize the situation. I am trying to put the country back on track — reforms are moving forward,” he said.

He added that the International Monetary Fund was clear that Lebanon should not approve increases without securing revenues, to avoid slipping back into crisis.

Jaber said no increases were imposed on diesel or gas, noting that gasoline prices had previously stood at around 1.8 million LBP, and concluded: “If it were not necessary, we would not have resorted to this increase.”