Lebanon's fiscal quagmire: In-depth look at improvised policies and budgetary challenges

The improvisational policies in Lebanon imprint many practices by those in positions of power. Even more disturbing is that despite the damages it inflicts on the citizens and the state, this improvisation continues to be committed without any accountability. 

The government submitted the budget proposal to the parliament with revenues amounting to LBP 277,000 billion, equivalent to $3.258 billion, according to the budget's exchange rate, which, according to the Finance Minister, Youssef Khalil, is LBP 85,000.

After the Finance and Budget Committee approved the budget proposal and made amendments, including removing several new fees and taxes, the committee was surprised by a letter from the Minister of Finance. 

The letter stated that the Ministry of Finance has reconsidered the expected revenue, which now stands at LBP 320 billion, equivalent to $3.764 billion. Therefore, the difference between the initial and revised revenue number is $506 million.

According to sources, this revenue increase was discovered after it was revealed that customs duties and VAT revenues had exceeded one billion dollars. The Finance Minister also urged the MPs to increase the expenditure, estimated at LBP 295,000 billion, equivalent to $3.470 billion, to match the import number.