Lebanon eyes recovery driven by reforms with $934M in preliminary funding

Report by Theresia Rahme, English Adaptation by Karine Keuchkerian

You’ve probably heard about Lebanon’s participation in the 2025 Spring Meetings of the World Bank Group (WBG) and the International Monetary Fund (IMF) — but what actually came out of it?

The Lebanese delegation, led by Finance Minister Yassine Jaber and joined by senior advisors and officials, took part in dozens of official and bilateral meetings. 

They engaged with a broad range of stakeholders, including the International Monetary Fund, the World Bank, international investors, global organizations, Arab and foreign funds, and key global figures.

The outcome: both the World Bank and the IMF reaffirmed their support for Lebanon and its reform agenda. However, financial assistance is conditional — real progress on reforms is required.

As part of the outcome, Lebanon secured preliminary approval for $934 million in funding. 

The package includes $250 million for the electricity sector under a signed loan agreement. 

The funding is designated for establishing a national control center, building "solar farms" expected to save $40 million annually, rehabilitating three hydroelectric plants, upgrading accounting and billing systems, and modernizing the electricity transmission network.

An additional $256 million is allocated for the water sector, $200 million for agriculture, $200 million for social protection, and $28 million for digitalization. All financing will be offered on concessional terms, with repayment periods extending up to 50 years.

These gains represent a critical opportunity to restore growth and stability. 

However, success depends on Lebanon accelerating reform legislation, continuing coordination with the IMF and World Bank, strengthening ties with the international community and the Lebanese diaspora, and adhering to its action plan with the Financial Action Task Force (FATF). 

That plan aims to remove Lebanon from the grey list. Increased private sector engagement and investment in productive sectors will also be essential.