Who is Karim Souaid? Lebanon’s new central bank governor with major financial challenges ahead

Report by Lea Fayad, English adaptation by Karine Keuchkerian

Lebanon has appointed a new governor for Banque du Liban, the country's central bank, after more than a year and a half following Riad Salameh's departure. In the interim, his deputy, Wassim Mansouri, had assumed the role. So, who is the new governor, Karim Souaid?

Born in Qartaba, Mount Lebanon, in 1964, Souaid is the brother of former MP Fares Souaid. He is married and has three children. 

He holds a bachelor's degree in law from the Saint Joseph University of Beirut and a master's degree in law from Harvard Law School, where he focused on banking law. Souaid is also a member of the New York State Bar Association.

Souaid is associated with "Harvard's Growth Lab" to resolve Lebanon's economic crisis in 2023, which was prepared by a company he owns. 

In short, the plan suggests protecting deposits stuck in banks up to between $100,000 and $150,000, while converting the remainder into debt for the state. 

This debt would be added to Lebanon's existing liabilities, with the state assuming full responsibility for repayment over time through reforms, without placing significant responsibility on banks.

Before 2006, Souaid held several positions in the financial sector, including general manager of investment banking services at HSBC. He was also a board member at the Emirates Lebanon Bank.

Additionally, he worked for various finance ministries and central banks in Arab and Gulf countries. In Lebanon, he worked in stock and securities issuances between 1996 and 2000.

Today, Souaid faces significant challenges in his role as governor of Lebanon's central bank, including restructuring the banking sector, finding solutions for deposits, imposing effective financial oversight on central bank operations, addressing the exchange rate issue, achieving monetary stability, and negotiating with the International Monetary Fund (IMF), among others.

In short, Karim Souaid will be a pivotal figure in the upcoming phase. So, remember this name.